This afternoon the United States Senate passed sweeping financial services regulation, sending the bill to President Obama. As the President has championed this legislation, it is certain he will sign the bill.
The Wall Street Journal reports “The measure, once implemented, will touch all areas of the financial markets, affecting how consumers obtain credit cards and mortgages, dictating how the government dismantles failing financial firms and directing federal regulators’ focus on potential flashpoints in the economy.”
The Journal also issues a warning: “The work of remaking the financial-regulatory regime, however, remains far from finished. Thursday’s vote effectively opens a second phase of lobbying and policy making as financial regulators begin to shape the rules and framework laid out in the legislation. That rule-making process will determine how the new law affects those ranging from traders of complicated derivatives to consumers shopping for a mortgage or a credit card.”
In an earlier story, the Journal reported on the broad reach of this bill: “Designed to fix problems that helped cause the financial crisis, the bill will touch storefront check cashiers, city governments, small manufacturers, home buyers and credit bureaus, attesting to the sweeping nature of the legislation, the broadest revamp of finance rules since the 1930s.”
The Wall Street Journal’s collection of reporting on this topic is at Financial Regulation.
ALG Condemns Financial Takeover as “One More Piece of Liberty Lost”
July 15th, 2010, Fairfax, VA – Americans for Limited Government (ALG) President Bill Wilson today condemned the U.S. Senate for enacting the conference version of the Dodd-Frank financial takeover bill, sending the bill to the desk of Barack Obama to become law.
“The American people have lost one more piece of their liberty, as the Senate has voted to create a hidden, permanent bailout that will enable faceless bureaucrats to levy taxes, bail out politically-privileged institutions and to seize and liquidate politically-unconnected ones, redistributing their assets to favored constituencies, like unions,” Wilson declared.
“There will be no votes in Congress like TARP ever again, as Congress has abdicated the power to tax and spend elsewhere,” Wilson explained, adding, “Which solves a political problem for members of Congress, but is really just a con game so that they don’t have to take responsibility for unpopular bailouts and government takeovers.”