President Obama and Regulation

It’s everywhere in the news today, particularly in the financial and business news. It’s especially more visible on the conservative networks. Republican leaders and business leaders have launched an assault on President Obama and his agencies over the issue of regulation. President Obama has received criticism from all sorts of people, industries and even from Governors around the country. According to them, regulation is actually killing jobs and hindering economic growth. The irony is that the lack of regulation was actually brought the U.S. economy, dragging the rest of the world with it, into a deep global recession back in 2008. But are we at too much regulation? Where does one draw the line between government intervention and laissez affaire capitalism.

In my paper, I plan to answer the question to see if there is really too much regulation and figure out if it’s affecting jobs and economic growth. I will also pay a lot of attention between President Obama vs. Wall Street and digging in deeper on financial regulation. With that being said, the Dodd-Frank Bill will be greatly discussed and I will examine its results.

One agency that has been a prime target for Republicans is the Environmental Protection Agency. They portray it as symbol of heavy handed regulation that they say is strangling the economy. A few of the Republican candidates have even said that they would shut down the EPA entirely. Representative Michele Bachmann, former Speaker Newt Gingrich and Governor Rick Perry have stood by this position. They argue that proposed rules for air quality standards, regulatory burden on businesses as their compliance costs would shoot up. To them, EPA is still choking growth and puts jobs on the line.

The U.S. Department of Agriculture was another agency that was attacked by many (even New Yorkers) through the proposed regulation of derivatives. This was something that almost threatened Wall Street jobs and there was a fear that derivative operations of banks would be moved to other countries. That would of cost many jobs.

The Securities and Exchange Commission has a budget that’s three times as big from ten years ago, but according to the House Financial Services Committee, it isn’t doing any better.

Honestly speaking, the arguments against over regulation aren’t very convincing. When the criticisms are given, specific evidence and examples aren’t usually given. I plan on finding thoe specific evidence and look for examples in where regulation can hinder growth and cost us our questions.

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About adriano6k

My name is Adriano Medina and I was born and raised in New York City, New York. I am currently a senior at Long Island University minoring in Economics and Political Science. I am due to graduate in May 2012. My current career goal is to work for in asset management for a global investment bank. I absolutely enjoy working in finance and love the industry. After working for a couple of years on the “Street”, I plan to transition over to the federal government. For Uncle Sam, my ideal employer would be the Department of State (I love international relations), but I would also work for the Department of the Treasury or the Securities and Exchange Commission as they deal with the capital markets and the economy. My current paper topic is on President Obama and regulation and to see if it actually is benefitting the economy (or/and necessary) or if it is fact hurting economic recovery as many Republican and business leaders argue. I also want to examine the relationship between President Obama. As of now, I think my paper will focus a great deal on regulation on the financial services industry. I plan to answer the question, if there is just too much regulation? I have interned on Wall Street and I love seeing the reactions and opinions that the Street has on President Obama. I also love seeing the arguments that the talking heads on TV give. I don’t know if this quite considered an extracurricular activity, but I love interning and I consider it a hobby and passion and as a result I have done 9 internships throughout my undergrad. I’ve just started going to the gym and I love it! It’s something new and great that I’ve discovered. During the summer, I play tennis. And I love music! I’m a horrible dancer, but once the music is pumping (with the help of a drink or two) I will dance the night away. I absolutely love museums and history. Watching the History Channel while eating Chinese food is something that I do sometimes (but not too much, got to watch them calories!).
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One Response to President Obama and Regulation

  1. Jonathan Robinson says:

    Are you planning on looking at this quantitatively? I would guess that an econometric analysis would be pretty labor intensive and difficult, especially when trying to control for things that effect the economy more than just pure rule changes. For example the rise in regulatory law written now (as a result of the ACA and Dodd Frank) could be misconstrued as contributing to a weak economy whereas really its high unemployment numbers, weak consumer demand, and a super weak housing sector.

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