Commentary Topic from greenfaucet
The big winner of the Obama financial-regulation plan appears to be the Federal Reserve, which becomes the consolidated supervisor of large, systemically important banks.
This is like the fox guarding the henhouse. After all, the Fed’s overly loose money policies created the asset bubble—including housing, commodities, and energy—in the first place. Near-zero interest rates, huge money growth, and total disregard for the plunging dollar are what set up the housing boom and the unfortunate overleveraging by consumers, mortgage borrowers, and Wall Street securitizers.
