Financial operations in our economy are quite complicated. In America, most of our free enterprise system works well – and is generally “self-correcting” in a customer “free-choice” market.
Ours is an economic system that has produced more benefits for more people than any other system in the history of the world.
But obviously, everything does not always work well. There is need for some rules and regulations. The current concern is that the highly complex and voluminous “financial reform” bill enacted by Congress this week will produce more “bad” than “good.”
Congress and the rest of the federal government certainly don’t have a record of operating financially very wisely and well.
That’s evidenced by trillions of dollars of red ink, despite too-high taxes.
So why should we think Congress has concocted “good” rather than “bad” legislation in its complicated financial “reform”? Time will tell, probably painfully.
We may have some advance clues:
The Senate passed “financial reform” by a vote of 60 to 39, with most Democrats but few Republicans in favor. It is reported the bill has half as many words in it as the King James version of the Bible, and certainly not words as wise!
Do members of Congress really know and understand what’s in the bill and how it will work?
Among the 39 senators opposing it were Tennessee’s Bob Corker and Lamar Alexander, Georgia’s Saxby Chambliss and Johnny Isakson, and Alabama’s Jeff Sessions and Richard Shelby.
We have much more confidence in their judgment than in the judgment of the majority in this case.
With Congress not having a good record on financial legislation, and with most free enterprisers in our country operating constructively and well, there are reasons for great trepidation about what the results will be when this very difficult and highly questionable bill passed by Congress takes effect in the months ahead.
Be wary!