QuestGirl Loc: Jayhawk Country

Louis DeBroux: Dodd-Frank Is Too Big and It Has Failed — The Patriot Post

https://patriotpost.us/articles/47344



The Elizabeth Warren connection

Gravy Train Flows at Warren's Consumer Agency | The Daily Caller

http://dailycaller.com/2017/02/07/exclusive-gravy-train-flows-wide-and-deep-at-elizabeth-warrens-consumer-agency/?utm_source=WhatCountsEmail&utm_medium=TheDC%20Morning&utm_campaign=TheDC%20Evening

ACP45 Loc: Rhode Island

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Your point about the gravy train flowing at the Consumer Financial Protection Bureau (CFPB) that was created under the Dodd-Frank Act is an excellent point. I cannot express an opinion on the benefits of this organization, because I simply do not know the answer to that question. But it is clear to me from reading this article that like most things the government does, the tax payer is getting screwed.

What makes it even more egregious, is that it appears to have been intentionally done so. Refer to these two bullet points from the article:

* "Overall, 449 CFPB employees get at least $100,000 per year and 228 CFPB are paid more than $200,000, according to publicly available 2016 data."

* "Warren deliberately placed the agency inside the Federal Reserve Board. As a result, the salaries there do not have to conform to the pay scale set for federal workers at all other department and agencies.

CFPB spokesman Samuel Gilford justified the high salaries by citing Dodd-Frank's section 1013, saying "€œcompensation at the CFPB is set pursuant to the federal law that established the agency."

Whether Dodd-Frank in whole or in part is a good piece of legislation is in the eye of the beholder. I submitted an earlier post questioning why Trump is subjecting this legislation for review, rather than re-instituting a new and improved Glass-Steagle Act. In my mind, that should have been a higher priority in terms of benefiting the public. You can read about my rationale here: http://www.onepoliticalplaza.com/t-94027-1.html

"The Dodd-Frank Wall Street Reform and Consumer Protection Act was signed into law in July 2010 following one of the worst economic meltdowns in U.S. history. The goal of the law was ostensibly to put tighter regulations on U.S. financial markets in order to discourage risk and avoid another meltdown." You can debate whether this Act achieved this goal, but clearly further de-regulating the banks and allowing them to re-engage in the risky behavior that lead to the banking crisis in 2008 is not the answer. The concept of "Too Big To Fail" is even more true today than it was in 2008.

When President Clinton removed the Glass-Steagall firewall between Investment and Consumer banking in 1999, it placed individual depositors money at risk. It was done at the behest of the major banks that wanted to make more money by taking higher risks at the expense of the public. It was a classic tale of "heads I win, tales you loose". The unwitting consumer believes that FDIC insurance will protect them from a systemic bank failure. They are wrong - the numbers do not lie (see chart below)

If you want to free up money for small businesses, why not get rid of the FED's Zero Interest Rate Policy (ZIRP) which makes it possible for banks to pay consumers zero interest on their deposits while investing those deposits in Treasury Bills and Bonds at zero risk? True, seniors and savers in general get screwed, but hey, the big banks and Wall Street is where our politicians get their campaign contributions, and what are the seniors and savers going to do anyway?

QuestGirl Loc: Jayhawk Country

I had never heard of this "Dodd-Frank" business. I'm very poor, always have been, so savings and investments is way above my pay scale. I do however recall protesters in New York outside Wall Street. I gather this bill was some kinda response to that, but my timeline could be off.

I found it interesting this topic popped up in my email twice in one day. When the Warren article popped is when I decided to post it here. I have hope that when OUR President Trump reaches this file and it's report on his desk, it will be changed to benefit We the People, and not the likes of Elizabeth Warren...and the entire Obama Klan.

Funny thing about numbers. No matter how creative one abuses them, they don't lie, bottom line. Numbers are absolute.