Strict Government Regulation Of Financial Institutions Still is Not Working Well

Despite all the economy’s strangling legislation the government’s attempts at making the financial system more secure from a meltdown, similar to that of 2008-2009, has been a complete disaster. Nothing has been accomplished in seeing that large banks and insurance companies will not fail, that major hedge funds will not cause a domino avalanche of catastrophe. In fact, the too-big-to fail banks have gotten much larger.All we have received is a more stifling economy.

The Dodd-Frank Act and its Financial Stability Oversight Council is left with such tools as forcing banks to increase capital. An impractical effort, as I have repeatedly pointed out, based on past poor experience. (See Earl J Weinreb NewsHole® comments.)