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
. Certain trading practices are affected, concerning certain securities, derivatives, and debt bundling. The Wall Street reform bill mandates middle men be involved in certain kinds of trades, so firms insulate themselves from each other better. There will even be an advisory board created that will determine how to break up mega firms on the brink of collapse. The bill also creates a consumer financial protection agency, which will aim to shore up mortgage loans, credit cards, and other consumer lending like pay day loan. The new Consumer Financial Protection Bureau will be part of the Federal Reserve.
The critics have their say
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. Most believe that the effects could be minimal. John Boehner, R – OH, the House Minority Leader has already said it should be repealed, and Senate Minority Leader Mitch McConnell, R-KY, has said the bill will “stifle growth and kill jobs .” The bill also grants a minor oversight of the Federal Reserve, audits allowed only after emergency money are made, excluding monetary policy, and don’t address Fannie Mae and Freddie Mac at all.
Discover more information
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
