The U.S. Securities and Exchange Commission’s top economist is leaving the agency after Chairman Mary Schapiro merged his office with another and passed short- selling rules that hedge funds said ignored financial analysis, according to an article in BusinessWeek.
James Overdahl, whose office reviews potential regulations to determine whether benefits outweigh costs, said in an e-mail today that he will step down March 31 to join NERA Economic Consulting. He joined the SEC in 2007 from the Commodity Futures Trading Commission, where he also served as the top economist.
I don’t short sell equities, but as far as regulation goes, this is political rule during a time when the Obama Administration needs a win. I wrote about the SEC Short Selling Rule and that something was rotten in the state of Denmark on March 2 with the 3 – 2 vote that was taken.
If there is going to be an introduction of a new regulation, the vote has to be unanimous.