The Volcker Rule for Financial Institutions

President Obama calls for new restrictions on the size and scope of financial institutions to rein in excessive risk-taking and protect taxpayers. The proposed legislation is called the Volcker Rule in recognition of the efforts of former Federal Reserve Chairman and current Presidents Economic Recovery Advisory Board Chairman Paul Volcker. January 21, 2010.

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25 Responses to “The Volcker Rule for Financial Institutions”

  1. manumitx Says:

    I think you have a …
    I think you have a different view on how politics works, and the problems caused by aggressive action at the wrong time. Sometimes you have to let the hand play out a bit, before you start making your move. It just depends whats more important, short-sided populist savvy or long term savvy. There are downsides and upsides to both a policy maker has to balance both the near and far. What he may have gotten from them, is to show their hand, so he can make a solid case.

  2. manumitx Says:

    you have no way of …
    you have no way of knowing thats it’s totally a PR move. I’m sure on some level they are aware of how a policy is going to be received, and in this case they know people will like it more than other ideas the country is split on. I don’t think the sole purpose of putting those policy out right now was totally PR driven. Maybe 20% PR driven. Of course i’m just making an observation and so are you. To know you are right, is simplistic.

  3. marderend Says:

    well, this is not …
    well, this is not how politics works. if you give something, you have to get back something in return. let me give you a solid example: In March 2009, SEC suspended mark to market rule in order to make banks look like they are healthy. Banks passed the so-called stress test and their stock rose. A savvy president should have gotten something return. I hope he now gets things done, but given America’s troubles, president should be more aggressive in getting things done.

  4. marderend Says:

    of course, it’s a …
    of course, it’s a PR move at this point. I am hopeful that because of the political pressure, it will turn into real action. But coming out forceful like this is a PR move.

  5. manumitx Says:

    Common sense isn’t …
    Common sense isn’t always easy to put into policy and have work. When you are trying to work out of other situations, you have to build a foundation in which to apply proactive policy. Last year was about securing the markets and gaging how much big banks are willing to help. This year will be much more proactive now that the dust has settled, and banks have shown their post melt down hands, it will be easier to pass common sense policy.

  6. manumitx Says:

    When you talked …
    When you talked about the MA race, and timing, it just sort of seemed you were suggesting a PR move of some kinda.

  7. marderend Says:

    I never implied …
    I never implied that the they are doing it to only look good. I am saying it’s late! and from the use of keywords such as “common sense” you can understand it’s a political response rather than a proactive action.
    you called me simple-minded and paranoid with no reason whatsoever, while failing to understand what I am saying. come up with a well-thought out answer next time!

  8. manumitx Says:

    I would ease off …
    I would ease off the paranoia a bit. This was in the works for a while. Its a reasonable approach, and to assume that it only happened because the white house wants to look good, is very simplistic. There are many reasons why choices are made, some have merit some don’t. The main issue at hand here is if the policy is a decent one. In this case I think it is. I say that, by also acknowledging that there could be unforeseen problems with it. But thats the case with any policy.

  9. marderend Says:

    put what together? …
    put what together? a speech? Obama is not unfamiliar with Volcker’s position. The question is when he decides to endorse his position. and more importantly, when he decides to implement his ideas on legislation.

  10. manumitx Says:

    Obama had been …
    Obama had been meeting in a serious way with Volcker about this issue specifically since mid December. Assuming they threw this together in less than a week, is a rather bizzare assuption on your part.

  11. Voltegasproductions Says:

    because making more …
    because making more laws doesnt always fix things, it just makes things more complicated. the laws that they do make need to be made bette, and they won’t pass laws that actually hurt the businesses because the businesses are what runs the goverment unfortunantly

  12. marderend Says:

    I am not argue …
    I am not argue about why Brown won. The president might have been busy with creating jobs since last year (very passively, as always it is with his style) BUT I am talking about banking reform. It was about 3 months ago when a photo of Obama and Volcker was published, and showed how frustrated Volcker was with Obama’s refusal to put regulation similar to Glass-Stiegel act. Last week, Elizabeth warren wrote a letter to the public asking for support. So don’t be telling me he’s not to blame

  13. iLuvAkeys4ever Says:

    maderend: The …
    maderend: The reason why Mr Brown won in Massachutes is because he lied.. Massachutes has 97% healthcare coverage in their state. Mr Brown told them they will lose this if Obama’s healthcare plan goes through which is a lie. He also told people M.A will lose many jobs because of cap and trade etc. He lied and freightened them into voting for him. Watch fox news coverage and it will show you how Mr Brown won. Obama is continuing to do what he started last year working on jobs!

  14. shaunshaun88 Says:

    we do not need …
    we do not need hedge funds to make the economy recover

  15. marderend Says:

    I don’t want to be …
    I don’t want to be all negative, but I have to say I am pessimistic about the timing of all this. I am pessimistic because I cannot understand why it would take Obama a losing election in MA to realize people are angry at the establishment. We had a huge collapse in 2008 and it takes our president a Republican with a pickup truck to fight back against people who caused the problem. I am sorry, but Obama should be one step ahead of people when it comes to protecting the interest of American ppl.

  16. marderend Says:

    it certainly was …
    it certainly was not a loan. We bought their stock, remember? We were even promised of making money when the do recover.

  17. pgunn01 Says:

    Judging by the …
    Judging by the spelling, it was probably one guy all along, he’s 13, and he probably has gone to bed.

  18. justmks Says:

    Obama’s delivering …
    Obama’s delivering Volkers reforms. If Volker says it needs to be done get ‘er done.

  19. justmks Says:

    Volker FTW
    Volker FTW

  20. Datajlzone Says:

    Fantastic President …
    Fantastic President Obama; we need to take our financial institutions back from those greedy; jerks who destroyed our country.
    “We The People” are with you and we well continue to pressure congress. God a hate congress greedy m…!

  21. lildwayne21 Says:

    @anddihier: YAWN!
    @anddihier: YAWN!

  22. lildwayne21 Says:

    Joe Biden is one …
    Joe Biden is one of an active VP. Notice how he’s not and complaining like Dick Cheney. He’s helping Obama put the country back on track.

  23. bootyjudie Says:

    Ooooohh Yeahhhhh! …
    Ooooohh Yeahhhhh! Get them bankers Obama!

  24. GadsdenWaver Says:

    what happened to …
    what happened to all the paid hacks that countered every negative comment posted?

  25. John4660 Says:

    Banks have more …
    Banks have more power and don’t give a about you Obama! Plus it’s unconstitutional to do so!

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