Which Scope for the Financial and Banking Regulation?

Following the financial crisis, most reforms have been mainly focused on the prudential dimensions. The author highlights that the scope of the rules and of the supervision remains a pending question and that both between European countries and between the EU and the US, the differences are huge. This matter of fact is an obstacle to the efficient development of the financial markets and to the financial stability. Hence, the author advocates for a large widening of the scope of the financial regulation in order to avoid an uncontrolled growth of the shadow banking system.