On Friday, Investor’s Business Daily posted an editorial about the sixth birthday of the Dodd-Frank Law. I should probably mention that Dodd-Frank was passed not to solve a problem, but to give the government more power to pick winners and losers. It also served as a distraction from the actual cause of the 2008 financial crisis.
I have periodically posted the video below. It explains the roots and causes of the financial collapse of 2008. The video can be found on YouTube:
The editorial at Investor’s Business Daily reminds us:
Americans‘ eyes glaze over when Dodd-Frank, which just passed its sixth birthday on July 21, is mentioned. After all, it’s pages and pages and pages of mind-numbing rules. A recent poll found that 63% of Americans didn’t even know what Dodd-Frank was.
A new study suggests Americans would be wise to pay more attention. Research by the American Action Forum (AAF) says that, during its brief six years of existence, the Dodd-Frank law has cost the U.S. more than $36 billion and imposed 73 million paperwork hours on American financial businesses.
In its report last year, the totals were $24 billion and 61 million paperwork hours in just one year.
Put on a more personal basis, the costs are equal to roughly $112 per person, or $310 per household. In short, it’s a tax that you’re paying, whether you realize it or not.
…One of the promises made back when Dodd-Frank was being discussed was that it would end “too big to fail” for the big banks. Not only did it not end that pernicious practice, it has exacerbated it. The top 5 banks have expanded their share of banking assets since Dodd-Frank. They not only didn’t kill “too big to fail,” they super-sized it.
As we pass Dodd-Frank’s sixth birthday, let us all firmly resolve that it not see its seventh.
Repealing Dodd-Frank would be a good first step in restoring America’s economy. The other thing that would be nice would be to put all the people who profited from the sub-prime mortgage market and then went on to high-paying government jobs behind bars where they belong (along with the politicians that passed laws and ignored problems that made the 2008 financial collapse possible). Watch the video to see who they are.