
Retiring Senator Chris Dodd's financial reform bill is now open for debate in the U.S. Senate. For the next few weeks, the public will be treated to media sound-bite snippets of Senatorial debate on various aspects of the Senate version of the reform bill. The bill is supposedly designed to prevent a replay of the 2008 crisis, in which 75 years of Federal financial reform laws proved utterly useless in preventing the crisis.
Rule: Whenever Federal regulation fails to prevent the negative outcome that has just come out, Congress adds more regulation.