The Freedom Of The U.S. Capital Markets Is Under Attack
By REP. SCOTT GARRETT Posted 05/14/2012 06:14 PM ET
Are you fed up with our lackluster recovery and stubbornly high unemployment? Do you wonder why, three years after we officially pulled out of the Great Recession, we still haven’t hit our economic stride? Look no further than the current occupant of 1600 Pennsylvania Avenue.
The reason economic growth is stuck in neutral is because the Obama administration is determined to regulate risk out of our capital markets. Put another way, President Obama believes that state-controlled capitalism is the best path to economic prosperity.
As a free-market capitalist, I couldn’t disagree more with President Obama’s vision for America’s economy. I believe that market-driven capitalism fueled by free ideas, free people and the freedom to take risk is what creates economic prosperity.
Robust economic growth requires healthy and dynamic capital markets, the ability to access credit and some good old-fashioned competition. In the past, policies mindful of basic economics allowed our capital markets to become the deepest and most liquid in the world.
In fact, our capital markets became the envy of the world specifically because government got out of the way so that they could flourish and grow.
Unfortunately, the story has changed dramatically over the last few years. Because of laws like Dodd-Frank and the tidal wave of regulations that are drowning our capital markets, pools of private capital have dried up, jobs creation has been placed on life support, and the global supremacy of our capital markets is now in jeopardy.
https://news.investors.com/article/611359/201205141814/capital-markets-need-freedom-to-take-risks.htm