The House considers financial reform written by the big banks. Derivatives will again thrive, with oversight by the Fed (with its built in conflict of interest being made up of the biggest bankers, themselves.) Even Greenspan and Volcker oppose these reforms as too weak. Volcker proposes to undo last decade of deregulation and prohibit commercial banks (insured by the fed govt with our money) from taking risky actions. Don't make the Fed the regulatory agency, so it can focus on monetary policy. Greenspan calls for anti-trust action against the biggest banks: if they're too big to fail, they're just too big.
A strong voice for effective reform is Richard Trumka, president of the AFL-CIO. He objects to Obama's plan to to put the Federal Reserve in charge as super regulator is "effectively giving the banks the ability to raid th eTreasury for their own benefit>" "Our members were not invited to Wall Street's party, but we have paid for it with devastated pension funds, lost jobs and public bailouts of private-sector losses. Our goal is a financial system that is...the servant of the real economony rather than its master."
Amen, brother!
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