The Wall Street reform bill has passed the United States Senate. The Senate first voted to stop debate and bring it to a vote. 50 of the 51 needed votes for passing the bill were already promised, so an easy passage was expected. The final vote was a 60 to 39 sweep. The bill could be sent to the President for approval. The President’s decision is expected by next week at the latest.
The Wall Street reform bill finally headed for final decision
Earlier today, the United States Senate voted to stop all discussion over the Wall Street reform bill and bring it to a vote. As outlined by CNN Money, the vote to stop debate passed 60 to 38. Final voting began soon after. A financial reform bill has been in the works since spring 2009. Key Senate Republicans were needed to see it through. There is nevertheless Republican opposition to the bill in both houses.
What effects the bill has
. It prevents some complex trades, and certain bets on securities, derivatives, and debt bundle packages. The Wall Street reform bill also creates mandatory middle men, so firms are more insulated from each other. An advisory and regulatory board could be created that will choose the fate of huge firms that are collapsing. The bill also creates a consumer financial protection agency which will regulate credit cards, consumer credit like pay day loan, and mortgage loans. The Consumer Financial Protection Bureau will be part of the Federal Reserve.
The critics sound off
A survey of economists was done by the Wall Street Journal, asking whether they would vote for the bill, and only half said they would. The economists the WSJ surveyed mostly believed the effects would be minimal at best. John Boehner, R – OH, the House Minority Leader has already said it should be repealed, and Senate Minority Leader Mitch McConnell, R-KY, has said the bill will “stifle growth and kill jobs .” Freddie Mac and Fannie Mae aren’t addressed whatsoever, and also the Federal Reserve, with its monetary policy exempted, can be audited only after it makes emergency money, and the monetary policy of the Fed is exempted from any audits.
Discover more about this topic here
money.cnn.com/2010/07/15/news/economy/Wall_Street_reform_bill_vote/index.htm
money.cnn.com/2010/06/25/news/economy/whats_in_the_reform_bill/index.htm?postversion=2010063018
online.wsj.com/article/SB10001424052748703722804575369050948609966.html
