Dodd-Frank Rolled Back – IOTW Report

Dodd-Frank Rolled Back

barney frank- youtube screenshot

 

Daily Caller: The Senate passed a bipartisan bill Wednesday that rolls back key components of the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act.

Senators voted 67-31 in favor of the most comprehensive changes to Dodd Frank since the sweeping banking regulations became law. Thirteen Democratic senators joined all 51 Republicans in the Senate to approve the roll back.

The bill is the brainchild of Senate Banking Committee Chairman Mike Crapo and aims to rework a number of the protective barriers Dodd-Frank put between consumers, banks and the greater economy in the wake of the 2007-2009 Great Recession.

“This bill has received widespread support for good reason: the cycle of lending and job creation has been stifled by onerous regulation,” Crapo said on the Senate floor prior to Wednesday evening’s vote.

Dodd-Frank was originally intended to increase transparency by implementing a consistent set of regulations aimed at closing loopholes and making firms accountable for their own mistakes. The bill attempted to shift the burden of major financial mistakes from taxpayers to market participants, ensuring those who partake in risky investment practices would bear the financial burden of their mistakes. Dodd-Frank promised to “end too big to fail” and “promote financial stability.”

Large banking institutions have grown dramatically since the passage of Dodd-Frank despite the act’s intentions, and small community banks have incurred serious losses as they try to keep up. Crippling regulations saddled smaller banks, forcing American consumers to market with fewer investment vehicles and greater costs.

Senators who voted for Crapo’s bill say it will help ease mortgage regulations on small and regional banks.  more

15 Comments on Dodd-Frank Rolled Back

  1. Good. Dodd-Frank was a classic congressional over reaction to the banking crisis and was poorly thought out prior to enacting. It needed to be amended. Congress continues too vote for restricting rules and regulations with little fore thought to the consequences, unintended or not. The only question I have is why did it take so long.

    13
  2. Dodd-Frank prevents market makers from using their own liquidity in transactions. That’s why when the market drops it does so very fast and furious. It doesn’t drop often from the massive fed liquidity injection over the past 9 years. Now that the fed has stopped backstopping, there is no choice other than loosen the noose of Dodd-Frank. You saw the negative effects play out about a month ago with the 2 largest point drops in DJIA history, and the biggest intraday swing ever.

    7
  3. So, my math is not common core math and it was learned loooong ago, but my brain says 51 RePUBICans plus 13 demonCRATs equals 64. Are the rest bi-dependents who are usually demonCRAT when it comes to voting?

    4

Comments are closed.