By Eugene A. Ludwig

You can almost hear the collective sigh of relief in Washington: at last, financial regulatory reform is done. The sweeping regulatory bill has occupied the attention of Congress, the executive branch and the financial markets for over a year. Is it time to say farewell to uncertainty about the condition and future of the American financial system?

Not so fast. The simple truth is that we have nothing but a sketch of the regulatory new normal.

By Elliot Schwartz and Charley Johnson

The Obama administration's proposal for regulatory reform includes necessary changes that will go a long way toward making the U.S. financial system safer and sounder. The federal government, like it or not, must guarantee the safety and soundness of the financial system. And as guarantor, the government needs the means both to prevent systemic financial crises and to cushion the cost of any failures that do take place.