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The Federal Reserve is slowly imposing regulations that could chip away at new banking requirements that are in place to prevent a repeat of the 2008 crash, according to The New York Times.

The small changes and incremental shifts that the Fed has been making could end up weakening capital requirements imposed on banks. Supporters of banks and the new regulations say that the Fed is engaged in “tailoring” or correcting regulations to allow for efficiency. Many believe that the regulatory standards were written in the heat of the meltdown and impose some unnecessary details on banks that hurt efficiency.

Some current and former Fed officials believe that the new regulations will allow large banks, who are making big profits, more freedom that could expose the US economy during a downturn. They believe that the Fed should be forcing banks to maintain and build up defenses during the strong economy in preparation for a downturn.

Jeremy Stein, a Harvard professor and former Fed governor, said, “No individual thing jumps out, but if you look at the sum total, the direction of travel is not entirely encouraging. You need to be incredibly vigilant, and really understand this stuff very well. It’s very opaque, in many ways.”

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