Wall Street Sees Trade Deals As Opportunity To Further Gut Dodd-Frank
Despite Wall Street kicking the crap out of reformers in Congress and in the regulatory bodies, they want more. The banksters demand to have what they have had historically – complete domination. Therefore, they are looking for other avenues to eviscerate what little is left of financial reform and seemed to have found another one in trade deals.
U.S. bankers and insurers are trying to use trade deals, which can trump existing legislation, to weaken parts of the Dodd-Frank Act designed to prevent a repeat of the 2008 financial crisis.
While the companies say they are seeking agreements that preserve strong regulations and encourage economic growth, their effort is drawing fire from groups who argue that Wall Street wants to make the trade negotiations a new front in its three-year campaign to stop or alter the law.
Yet another reason not to do the bailouts without conditions. The end run does have a silver lining though, comedy.
The Securities Industry and Financial Markets Association, Wall Street’s biggest lobbying group, said in a March 1 letter that liberalization of trade in financial services “is often incorrectly equated with deregulation.”…
The financial services industry has already invoked international trade rules in its bid to weaken proposed regulations, notably the Volcker rule that would ban proprietary trading. Named after former Federal Reserve chairman Paul Volcker, the rule is a signature part of Dodd-Frank.
How dare you associate liberalization with deregulation, ridiculous. Liberalization means removing or reducing government restrictions whereas deregulation means removing or reducing government restrictions. See!
Senators Elizabeth Warren and Sherrod Brown are the ones to watch. Their objections could dispel some of Wall Street’s power and prevent further destruction of Dodd-Frank, though it is an open question if what remains of Dodd-Frank is even worth trying to save. We are basically at 2007 regulatory standards. And insanity is repeating the same process over and over again and expecting different results, right?