Bill Clinton: Slow Down Dodd-Frank
Former President Bill Clinton believes that Dodd-Frank should be slowed.
Dodd-Frank is a 2000-page financial overhaul bill that imposes massive amounts of new regulations on Wall Street. The authors claim it will prevent a repeat of the 2008 financial collapse. Of course, they’re just not right. What the bill actually does is cement those companies that are “too big to fail” and prevent smaller banks from growing.
Mr. Clinton, predictably, feels that the bill is a good thing, but thinks that the new regulations should be implemented little by little:
“One way to clear that up may be to stagger [the regulations] in over a more pronounced time table,” he told CNBC. “I think there’s only so much change that institutions can handle at one time.”
So it’s okay for all these regulations to eventually crush these businesses, sucking billions from them in compliance costs, just not immediately?
This bill is wrong for the country. We saw what happened with Sarbanes-Oxley – companies fled to London. Dodd-Frank is worse – it’s Sarbanes-Oxley on steroids. Creating hundreds – or thousands – of new rules isn’t going to make these businesses any safer, just less productive.