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Dodd-Frank Hits Businesses and Benefits Few 

May 27, 2015

John Berlau, Newsmax

Among the Ten Thousand Commandments, as Competitive Enterprise Institute Vice President Wayne Crews titles his annual study — just released for 2015 — of the Federal Register, are thousands of financial commandments added by the Dodd-Frank Wall Street Reform and Consumer Protection Act. 

Not only has Dodd-Frank added thousands of pages to federal rules, but its unfinished implementation has already cost the economy billions of dollars — perhaps close to a trillion dollars.

In Crews’ related study, Tip of the Costberg, he calculates from official government figures that compliance and indirect costs of financial regulation total $79.125 billion annually. But he cites estimates that some of the law’s provisions could have a cost to the economy exceeding $1 trillion.

This is similar to the American Action Forum study released last week finding that Dodd-Frank, based on the economic effects of increasing the cost of lending, could result in the loss of “$895 billion in reduced Gross Domestic Product (GDP) over the 2016-2025 period, or $3,346 per working age person.”

Even liberal Democrats in Congress have acknowledged that Dodd-Frank’s implementation has resulted in some unfortunate costs for consumers and small banks. 

Read more: NewsMax
 

 
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