Mind and Destiny

“I make no pretension to patriotism. So long as my voice can be heard ... I will hold up America to the lightning scorn of moral indignation. In doing this, I shall feel myself discharging the duty of a true patriot; for he is a lover of his country who rebukes and does not excuse its sins. It is righteousness that exalteth a nation while sin is a reproach to any people.”- Frederick Douglass

Location: Delhi, N.Y., United States

The author and his webmaster, summer of 1965.

Saturday, June 10, 2017

Financial Choice Act

House Republican passed a bill, entitled the Financial Choice Act along party lines.  The the bill passed despite strong objections by Democrats to preserve the Dodd-Frank Act, which has prevented another financial crisis and is protecting American consumers.

House Financial Services Chairman Jeb Hensarling bragged: “Every promise of Dodd-Frank has been broken.  We will replace economic stagnation with a growing healthy economy."

House Speaker Paul Ryan claimed: “Hensarling's bill would keep the GOP's promise to cut onerous financial regulations in order to help create jobs and foster economic growth.  We see the Financial Choice Act as the crown jewel of this effort.  The Dodd-Frank Act has had a lot of bad consequences for our economy, but most of all in the small communities across our country."  The bill would allow President Trump to fire the heads of the Consumer Financial Protection Bureau, a consumer watchdog agency created under Dodd-Frank, and the Federal Housing Finance Agency, which oversees mortgage giants Fannie Mae and Freddie Mac.

Congress would have the power to defund the CFPB's budget, and also bar the Federal Deposit Insurance Corp. from overseeing the so-called living will process, which requires banks to write up plans on how they would safely be unwound in the event of a collapse.  The FDIC and the Fed are the two regulators responsible for overseeing this requirement under the 2010 law.

Maxine Waters, the top Democrat on the House panel warned: "It's shameful that Republicans have voted to do the bidding of Wall Street at the expense of Main Street and our economy."

The Financial Choice Act would gut consumer protections and allow banks to make risky investments that required taxpayers to again come to the rescue of the nation's largest financial institutions as it did a decade earlier. 


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