By
Norman Kelley
A few weeks ago I posted an article regarding the need for a "bigger stick," that is, why the government should housed the myriad financial regulatory agencies under one roof in order to monitor the entire financial industry. Well, it seem that some in the financial industry are combining to make sure that the Obama administration's attempt to regulate the multi-trillion dollar industry is scaled back.
Citing a letter sent to all members of the Senate by a newly formed financial industry trade group, Washington Post reporter Brady Dennis notes that
The Coalition for Derivatives End-Users, organized by groups such as the U.S. Chamber of Commerce, the Business Roundtable and the National Association of Manufacturers, sent a letter to lawmakers last week saying that "some reform proposals would place an extraordinary burden on end-users of derivatives in every sector of the economy -- including manufacturers, energy companies, utilities, healthcare companies and commercial real estate owners and developers." The letter was signed by more than 170 companies and trade associations.
The letter seems to represent a naked rationale for business to go on as usual, with no meaningful oversight of an instrument which led to last year's financial collapse.