Why Do Republicans Want to Unregulate Wall Street?

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I understand why Republicans want to repeal Obamacare. I understand why they want to cut taxes on the rich. I understand why they want to slash social welfare programs for the poor. I may not like it, but I mostly understand it.

But why do they want to repeal the Dodd-Frank financial reform bill? Their base doesn’t care about it. The banking industry is fighting over the details but seems mostly willing to live with it. Credit unions and small banks want relief from certain parts of the law, but that’s a fairly limited thing.

So what’s the point? Republicans would like to get rid of the Consumer Finance Protection Bureau because they historically hate consumer protection. That much I get. But why get rid of OLA, the provision that helps regulators perform an orderly liquidation of a big bank like Lehman Brothers? Why get rid of the provision that allows extra scrutiny and tighter rules for “systemically important” banks? Why exactly are Republicans opposed to that?

I’m sort of mystified about this. I mean, sure, these provisions are (a) regulations, (b) Democratic regulations, and (c) Democratic regulations on rich people. I guess that’s enough. But who’s pressing them on this stuff? It’s crazy on the face of it. The 2008 meltdown happened less than a decade ago. Why would even a Republican be opposed to raising capital requirements on big banks and insisting that the financial industry pay for any future bailouts?

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Fact:

In-depth journalism that investigates the powerful takes real money and is so damn important right now.But it doesn’t take a Mother Jones investigation to know that billionaires and corporations will never fund the type of reporting (like they do politicians) we do that exists to help bring about change. Instead, our mission-driven journalism is made possible by people power, and has been for 46 years now since our founding as a non-profit.

In “TITLE TK” Monica Bauerlein writes about the perilous moment we’re in, and why it’s so important that we raise $325,000 by the time November’s midterms are decided so we can be ready to throw everything we have at the big issues facing the nation no matter what happens. Please help MoJo’s people-powered journalism with a donation today.

$400,000 to go!

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