Can Securities Regulation Solve Social Problems?

Regulators seem to think so. In the Dodd-Frank Act, policymakers made an unprecedented move towards using securities regulation to address issues unrelated to the Securities and Exchange Commission’s (“SEC”) core mission of protecting investors and maintaining the fair and efficient functioning of financial markets. The Dodd-Frank Act requires financial statement dissemination of information regarding purchases of war minerals from Congo and mine health and safety performance. The objectives of these policies are noble—more than ten million people have died in Africa’s Great War and every year hundreds of workers are injured or killed in U.S. mines. Yet, can such regulation … Read more