Mark Calabria shouldn't have been so understanding in his Nightly Newshour appearance on the Mega Bank Lobby's softening of Dodd Frank in the budget just passed. Cato's only response should be that the most straight forward solution to too big to fail is an act that requires any financial institution that controls assets approaching two percent of the gross national product to split itself in two independent selves. For example currently J P Morgan Chase with a control of a trillion in a twenty trillion economy needs to be split into ten separate entities and thereby let markets, not Congress, control those capable of failing.
Tuesday 30 2014 Comment
THE WARREN EFFECT The economy is growing and job growth is increasing, but that hardly means Wall Street doesn’t still have a target on its back. Perhaps the person most important to the fate of Wall Street — with the exception of Janet Yellen, the Federal Reserve chairwoman — is Elizabeth Warren. “Dodd-Frank isn’t perfect,” the senator commented in reference to Wall Street recently, talking about the post-crisis financial overhaul law. “It should have broken you into pieces.” And she is unlikely to stop.
Wow! "It should have broken you into pieces." is exactly my position.
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