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Obama's reform.

Obama's reform.

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Pepperland

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http://news.bbc.co.uk/1/hi/business/8104700.stm

The US government has announced a major reform of banking regulation to prevent future financial crises.

The overhaul of the banking system will require big banks to put more money aside against future losses and is meant to curb excessive risk taking.

Consumers will get a special agency to protect their interests and regulate mortgages and credit cards.


President Obama was speaking on Wednesday regarding the reforms, which mark the biggest shake-up of the US system of financial regulation since the 1930s.


it looks like Obama is doing the right thing by imposing more regulation, however, will there be any drawbacks?

and as pointed out by Peter Morici of the Smith School of Business at the University of Maryland, will the changes be "a huge bureaucratic overreach that will prove ineffective and too costly"?

w

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Originally posted by generalissimo
http://news.bbc.co.uk/1/hi/business/8104700.stm

and as pointed out by Peter Morici of the Smith School of Business at the University of Maryland, will the changes be "a huge bureaucratic overreach that will prove ineffective and too costly"?
Too costly? Come now, all they have to do is print money. How hard can that be?

g

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Originally posted by whodey
Too costly? Come now, all they have to do is print money. How hard can that be?
despite the fact that it could trigger higher inflation or even hyperinflation?

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