Arianna Huffington -It's mission accomplished for financial reform.
Unfortunately, it's more of a Bush 43 "mission accomplished" than an Apollo 13 "mission accomplished." That's because the financial reform bill passed by the Senate last week, like Bush's ship deck ceremony, is more notable for what it has left to still be done.
The Restoring American Financial Stability Act of 2010 will do no such thing. First, it doesn't do enough to rein in Wall Street. It doesn't end "too big to fail" banks, doesn't create a Glass-Steagall style firewall between commercial and investment banking, keeps taxpayers on the hook for future bailouts, and leaves open dangerous loopholes in the regulation of derivatives. And we can expect more loopholes to be inserted as the bill heads to conference committee. In D.C., crafting a bill without them would be like baking bread without yeast. Though you can't see them, they're what makes a Washington bill rise.
There's a reason a longtime investment banker, speaking to the New York Times, said of his colleagues' reaction to the new bill, "If you talk to anyone privately, there's a sigh of relief." Read more.