{"id":427439,"date":"2010-03-14T19:35:45","date_gmt":"2010-03-14T23:35:45","guid":{"rendered":"http:\/\/blogs.wsj.com\/economics\/2010\/03\/14\/sen-dodd-interview-previews-his-financial-overhaul-bill\/"},"modified":"2010-03-14T19:35:45","modified_gmt":"2010-03-14T23:35:45","slug":"sen-dodd-interview-previews-his-financial-overhaul-bill","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/427439","title":{"rendered":"Sen. Dodd Interview Previews His Financial Overhaul Bill"},"content":{"rendered":"

Senate Banking Committee Chairman Christopher Dodd <\/strong>(D., Conn.) spoke with the Wall Street Journal on Sunday about the bill he plans to introduce Monday to rewrite financial market regulations. Mr. Dodd said the bill had been \u0093well vetted, well thought out, and thoroughly explored. I\u0092m not interested in setting up a regulatory structure that strangles anyone.\u0094 But he also vowed to push forward aggressively.<\/p>\n

\u0093The idea we can somehow delay this to some later date is just totally unrealistic and wrong, because the American public rightly deserves answers to how we can address this set of problems,\u0094 he said.<\/p>\n

He said the bill would try to achieve three main things.<\/p>\n

1)\u00a0\u00a0\u00a0 \u0093Plug up the gaps that created the problems in the first place.\u0094<\/p>\n

2)\u00a0\u00a0 \u0093Limit the possibility of another economic crisis of this magnitude. We aren\u0092t going to stop all future economic crises. That would be silly to suggest\u0085\u0094 But the bill will set up \u0093early warnings of problems as they emerge, to at least have some ability to step in to institutions or products that pose\u0094 major risks.<\/p>\n

3)\u00a0\u00a0 \u0093Create an architecture that makes credit available, capital available, to allow the U.S. to retain its world leadership.\u0094<\/p>\n

He said the bill would have four basic pillars.<\/p>\n

1) \u0093Never, ever, ever again should any financial institution become so large, so interconnected, so complex that they have the implicit guarantee the American taxpayer will bail them out if they get in trouble. The result will be bankruptcy or a resolution that will be so painful you never want to think about it as an option.\u0094<\/p>\n

2) \u0093We are going to put in place a systemic risk council idea with the authority to be able to identify an bring in institutions that pose a systemic risks to the nation.\u0094 He said it would \u0093provide a lookover\u0085between institutions, even beyond the shores of this country.\u0094<\/p>\n

3) On the derivatives, the over the counter derivatives and hedge funds\u0085we haven\u0092t reached cloture yet (because Sen