The most immediate objective in Paulson's regulatory blueprint--and one he thinks could become a reality before he leaves office next year--is the creation of a Mortgage Origination Commission that would establish minimum standards for mortgage brokers and would grade each state's mortgage regulatory system.

FORBES: Paulson's Legacy

In a regulatory straitjacket and dominated by a state-run banking system, Israel suffered a "lost decade" from the mid-1970s to the mid-1980s.

WSJ: Book Review: "Start-Up Nation"