Let me say that, while generally supporting the underlying objectives of the regulatory reform, the industry has been critical towards the new capital requirements.
In other words, their standard excuse has been, “this time is different”. Yet this “this time is different” argument does not hold. Reinhart and Rogoff put forward impressive evidence showing that over eight hundred years, all financial crises can be traced to the same fundamental causes as if we learnt nothing from one crisis to another. 10.