The Other Battle

By James Kwak

One battle in Washington — the one that has been in the news this week — is over resolution authority and the supposed “bailout fund” attacked by Mitch McConnell. Another battle will be over the Consumer Financial Protection Agency, which Republicans are likely to try to cripple behind the scenes. While most of the reviewers of 13 Bankers have seized on the call to break up big banks, few have discussed the first part of that chapter, which argues for strong consumer protection. Simon and I wrote an op-ed in The Hill to reiterate the point and warn against some of the tactics opponents may use.

8 thoughts on “The Other Battle

  1. Brilliant idea James.

    It worked so well on the corporate side with the ratings agencies, I am sure it will work just as well as consumer agencies.

    This is wonderful — banks don’t need to think about whether loan will be paid back, agency will do it for them, and consumers don’t need to wonder whether they can pay back a loan, civil servant will do it for them!


  2. This one’s for Miss Palin tonight. She can consider this her love song to Assemblies of God parishioners. Compliments of Chopin. From now on known as Palin’s Swan Song of Doom.

  3. So–zanon–you trust the insurance company to do it better than the government?? Called the customer complaints dept. at your insurance company lately??? Ask Iowa Senator Chuck Grassley and Oklahoma Senator Coburn when they plan to give up their GOVERNMENT PLAN INSURANCE??? No?? ‘Cause your so ____ing dumb you didn’t even know Republican Grassley and Coburn had GOVERNMENT INSURANCE NOW, did you???

  4. Calm down, Ted. Every Congressman who voted FOR the Health Care bill voted to keep their gov’t employees benefit plan. They also voted to dump all but their elite staff from the the Gov’t Plan Insurance AND according to the NYT, dump them BEFORE another option was available to these lower eschelon staff members.

  5. History abounds with failures of gov’t agencies to protect the people they were supposed to protect. Every year private testing groups find toys with lead and other banned chemicals that get past the Consumer Products Safety Commission despite stricter regs. People die from E coli missed by the Dept of Agriculture inspectors. Let’s not go to the SEC which hasn’t prevented the most obvious fraud, even when presented with evidence, i.e Bernie Madoff, Michael Milken, etc.

  6. Take another look. This was Grassley’s amendment.

    “As part of the newly enacted federal health-care reform law, members of Congress and their personal staff will no longer be covered by the Federal Employee Health Benefits Plan, but will use state-based exchanges instead.

    But a Congressional Research Service memo states that by leaving out a specific date for the transition to happen, Congress may have signed itself up to leave its insurance policy three weeks ago when President Barack Obama signed the bill into law.”

  7. I know, but many amendments proposed by Republicans were voted down in committee (televised and I watched). Grassley does not pass any amendments without Democrat votes. And why do you think that no Democrat proposed that THEY, THEMSELVES, move along with their low eschelon staffers, to the exchanges? You really don’t believe that if we had a Public Option that these weasels (Republican and Democrats alike) would give up their benefit plan and opt into the Public Option, do you? History teaches us that Congress exempts itself with regularity from legislation that they propose and pass. For decades they were exempt from Social Security and sexual harassment laws. We differ mostly in that I have little respect for either party and you have respect for only one.

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