“The six largest banks will still enjoy the enormous implicit subsidy that results from the expectation that the federal government will bail them out in the event of a crisis.”
Statement on Wall Street Reform Bill |
| Dean Baker: “Reform Bill Will Improve Regulation in the Financial Sector”For Immediate Release: July 15, 2010 Contact: Alan Barber, (202) 293-5380 x115 Washington, D.C.– Dean Baker, co-director of the Center for Economic and Policy Research, issued the following statement on the passage of the financial reform bill by Congress:”The final bill passed by the Senate today and already approved by the House of Representatives will improve regulation in the financial sector. However, given the severity of the economic crisis caused by past regulatory failures, the public had the right to expect much more extensive reform.” On the positive side, the creation of a strong independent Consumer Financial Protection Bureau stands out as an important accomplishment. Such an agency would have prevented some of the worst lending practices that contributed to the housing bubble. It will be important that President Obama choose a strong and effective person, such as Elizabeth Warren, as the first head of the Bureau to establish its independence.” Continue reading Congress gives Wall Street Banks “Get Out of Jail Free” card |
Beaver County Blue: Voice of the 17th CD of Progressive Democrats of America 