The United States Senate has finally passed the Wall Street reform bill. The Senate first voted to stop discussion and finish the voting. 50 of the 51 needed votes for passing the bill were already promised, so an easy passage was expected. . The President’s desk is the next stop for the bill. President Obama is expected to make the decision to sign or veto the bill by sometime next week.
Wall Street reform bill finally passes
Earlier today, the United States Senate voted to stop all discussion over the Wall Street reform bill and bring it to a vote. The Senate voted 60 to 38 to bring it to a vote, as outlined by CNN Money. The final vote began minutes later. Since spring 2009, a financial reform bill has been expected. The bill needed some key Senate Republicans to offer their support for it in exchange for alterations. Republicans of both houses nevertheless oppose the bill.
What effects the bill has
The bill is largely aimed at Wall Street. 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 aim to shore up mortgage loans, credit cards, and other consumer lending such as paycheck loans. The Consumer Financial Protection Bureau could be part of the Federal Reserve.
The critics have their say
According to the Wall Street Journal, the economists they surveyed were split down the middle whether they would have voted for it. A slight majority believed it could have only minor effects. House Minority Leader John Boehner, R – OH, has already called for its repeal, and Senate Minority Leader Mitch McConnell, R-KY, says it will “stifle growth and kill jobs.” The bill also grants a minor oversight of the Federal Reserve, audits allowed only after emergency cash loans are made, excluding monetary policy, and do not address Fannie Mae and Freddie Mac at all.
More info about this topic at these websites
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
