If Hillary Clinton were to be elected the next president what would she do about matters concerned with Wall Street regulation, or taxes for that matter? Would she continue doing what her husband Bill Clinton did or would she take her cue from the outgoing President Barack Obama who was the architect of the Affordable Care Act, and the Dodd-Frank Wall Street Reform Act?
Clinton baiters are of the view that she’ll probably give in to the bankers who were supporting her speeches. However, Clinton is rather hesitant to make those speeches public, which has provoked Sen. Bernie Sanders to spearhead a movement that is set on reshaping the country’s banking system. The truth is that she probably does not want to upset Wall Street sentiments by displaying her open support to Dodd-Frank reforms like advocating the Volcker rule that will impose a “risk fee” on banks bent on making speculative deals with money that are with them.
Clinton may also make some fresh enemies by passing the “Buffet rule” that would seal all tax loopholes and bring in a higher minimum rate in the high-income group. She is keener on appealing to and appeasing middle-class voters who have retirement savings accounts, and supporters of consumers who feel that Wall Street has been appeased too much by the Democratic Party. She will have to lend her ears to the business; consumer and labor points of views and her views may not be as ambiguous as they appear to be.
One thing that Clinton will certainly not do is to interfere in the affairs of the country’s largest banks that Sanders has been calling out for. She would rather focus on regulating hedge funds and other such shadier areas in the banking system. Now that she is far ahead of Sanders she is focusing on Donald Trump and the Republicans, thwarting their efforts at repealing Dodd-Frank, while she is all for expanding the same.
Clinton clearly wants to be tougher when it comes to enforcement in Wall Street. No wonder so, because 67% of the U.S. population has clearly indicated that they prefer a president who favors tighter regulations on financial institutions. Even a majority of the Republicans feel that it is high time to be tough with Wall Street. Given the hostility the general public has been showing towards financial institutions in general, no presidential nominee can hope to win the elections. That way, Clinton is indeed in a very tight position. Sanders has been taunting Clinton to make public her paid speeches that were made to some of the country’s large financial institutions. The media has been pressing Clinton to make public the speeches, claiming that the voters have a right to know.
Clinton, on her part, has assured that she will make public the transcripts of the speeches provided every other person contesting the elections is prepared to make public his or her speeches. However, the truth of the matter appears to be that Clinton has no intention of allowing the transcripts ever seeing the light of the day for fear that they will indicate she is too eager to please the important bankers in the country. She is also of the view that just because she received a lot of money for speaking to financial firms does not mean that she will not support Dodd-Frank or the Consumer Protection Act.
Clinton is firmly reinstated that she will implement the Volcker Rule that discourages banks from making risky investments that can end up in heavy losses. This makes sense as banks can prevent unnecessary losses is what Jeffrey Frankel, the professor at the Harvard’s Kennedy School of Government feels.