How does the financial reform law end too-big-to-fail.........

[thundley4]

Subdivisions   (1000+ posts)             Wed Jul-21-10 02:59 PM
Original message
How does the financial reform law end too-big-to-fail and how will
   
it end taxpayer-funded bailouts?

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=389x8788331

branders seine   (1000+ posts)         Wed Jul-21-10 03:40 PM
Response to Original message
4. it is my understanding that the new law does nothing to end too-big-to-fail.
   
I heard an administration spokescreature say that it ends bailouts, but I'm not sure that is true.

Subdivisions   (1000+ posts)             Wed Jul-21-10 03:42 PM
Response to Reply #4
5. Perhaps that's why I can't seem to get this discussion going. Not even the bill's
   
cheerleaders will explain. They just say it's great without any backing it up.

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Subdivisions   (1000+ posts)             Wed Jul-21-10 04:02 PM
Response to Original message
6. Kick. Hello? Anyone? n/t
   

No DUmmies want to touch this.

alc (206 posts)           Wed Jul-21-10 04:02 PM
Response to Original message
7. Dodd explained it pretty well
   
We don’t know ultimately how well the ideas we have incorporated will achieve the results we all desire. It will take the next economic crisis, as certainly will come, to determine whether or not the provisions of this bill will actually provide this generation or the next generation of regulators with the tools necessary to minimize the effects of that crisis when it happens.



In other words: they don't know.


It allows the government to dismantle a company before it takes down the economy. But it doesn't require that. They could decide a bailout would be better.

It provides some tools for regulators, but it doesn't require regulators to use them. The last/current crises would probably not be as bad if the SEC had used the tools they had. But they were negligent in their oversight, just like MMS with BP. I haven't seen anything requiring them to practice the oversight they are charged with. If anything, there are now more agencies with oversight authority which could lead to more agencies assuming someone else will do it and each agency having less visibility into the entire financial system. That will make it easier to get around oversight.

alc must be a troll.

Subdivisions   (1000+ posts)             Wed Jul-21-10 04:06 PM
Response to Reply #7
8. Thank you. But I'm not really interested in what Dodd or Frank have to say. They
   
Edited on Wed Jul-21-10 04:08 PM by Subdivisions
both take money from the financial sector and I see that as a conflict of interest. What I'm more interested in is DUer's opinions/analysis of the law, ESPECIALLY THOSE WHO HAVE BEEN AND CONTINUE TO CHEERLEAD THIS LAW.

But, really, thanks again for responding. 

ETA: I do find it fascinating that the authors of the law don't know how it will work. VERY fascinating.

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Subdivisions   (1000+ posts)             Wed Jul-21-10 04:25 PM
Response to Original message
9. Kick. Anyone? Anyone at all? n/t
   
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Subdivisions   (1000+ posts)             Wed Jul-21-10 04:48 PM
Response to Original message
10. Kick. n/t
   
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Subdivisions   (1000+ posts)             Wed Jul-21-10 05:09 PM
Response to Original message
11. Kick. n/t
   

Methinks subdivisions must be a troll. 

[USA4ME]

Methinks subdivisions must be a troll.  

The subdividing primitive is the former Texas Explorer primitive, and she's as loopy as they come.  She's definately part of the "capitalism is evil and needs to be exterminated" sector of the island, thus her desire to get the 100% Dear Leader worshippers to respond, which I doubt they will except to repeat what the WH tells them to believe.

.