US. A Step Backward in Financial Regulation
The scarring experience of the financial crisis of 2008, and the federal government’s actions to avert widespread chaos in the financial system, remain poorly understood events across the political landscape.
Although Congress enacted the Dodd-Frank Act in 2010 to prevent such crises from recurring, some of its provisions reflect that poor understanding. Rather than surgical precision, Dodd-Frank took an inefficient broad-brush approach to making the financial system safer. And despite being overly burdensome, it failed to address a range of issues, including the need to streamline the regulatory framework itself.
The Trump administration has said it wants to roll back the Dodd-Frank Act in the name of financial deregulation. And the House of Representatives may soon debate the Financial Choice Act — the most prominent proposal for the reform of Dodd-Frank — which was approved by the House Financial Services Committee earlier this month.
Full Content: Bloomberg
Remember to subscribe to our free weekly newsletter for more news or subscribe to our service to get unlimited access.
