We are going to sort out the US financial system. This might seem a bold statement when, two and a half years after the Dodd-Frank Act was signed into law, much necessary regulation is still not on the books. But with the re-election of Barack Obama, I have no doubt that the necessary new rules will be in place in good time. While I share the frustration that many feel about our slow progress, I do not share the angst that often accompanies it. Some of the factors responsible for the pace were inherent in the task.
Some critics have complained that we overloaded the agencies’ circuits with a law that was much too long. The 124-page Dodd-Frank Act is, sceptics note, rather longer than the 30 pages of Glass-Steagall, the financial reform bill passed in 1933 in the wake of the Wall Street crash. But our bill covered more subjects.
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