When he signed the Dodd-Frank financial "reform" legislation into law, President Obama told a White House audience: "There will be no more tax-funded bailouts-period." Will Dodd-Frank achieve its promised purpose of ending the systemic threat of financial institutions that are "too big to fai,l" or will Obama's unequivocal promise to end bailouts prove to be no more reliable than his promises that Americans can keep their health insurance coverage, keep using their existing doctors and save $2,500 all the while providing insurance to 30 million of their fellow citizens?
Writing in the Autumn, 2013 edition of City Journal, the Manhattan Institute's Nicole Gelinas, dissects the Dodd-Frank act and concludes that it has failed in its central mission of ending too big to fail.
In her essay: Too Convoluted To Succeed, Gelinas explains what went wrong with Dodd-Frank, and highlights proposed changes that could help prevent another financial crisis. Some policy makers are alert to the problems with Dodd-Frank and have introduced legislation they believe will address Dodd-Frank's shortcomings.
Her essay is sobering and thought-provoking. Pres. Obama, exhausted from the hard work of federalizing the economy's healthcare sector through the implementation of his eponymous legislation, is vacationing in Hawaii for the Christmas holiday. Maybe between rounds of golf he will find time to read it.
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