Rep. Jeb Hensarling (R-Tex.) was against Dodd-Frank when he was in the conference committee for the bill and he continues to be critical of the legislation
"Two years later, we remain mired in the worst economy in the postwar era, 'too big to fail' is actually enshrined into law, and Dodd-Frank's voluminous rules are proving to be some of the most confusing, complex and harmful our capital markets have ever seen," he writes in a Wall Street Journal op-ed.
He faults the creators of the legislation for misdiagnosing the problem (not enough regulatory involvement vs. too much government involvement) and prescribing the wrong remedy. One of his biggest points of contention is that in attempting to eliminate too-big-to-fail the act actually enshrined it in the Orderly Liquidation Authority. "Moody's explicitly stated that its ratings still reflect an assumption 'about the very high likelihood of support from the U.S. government for bondholders or other creditors in the event that such support is required to prevent default,'" he writes.
What would he like to see? A phase-out of Fannie and Freddie and "a meaningful application of capital and liquidity standards."
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