Next president will have tough treasury decisions
I will write not to oppose or support a specific candidate for president of the United States, which according to Press Editor Adrienne Downing, is against press policy. Rather, my purpose is to share a most important point made Sunday on MSNBC by Senator Bob Corker (R-Tennessee) a member of the Senate Banking Committee.
After acknowledging that both Washington, D.C. and Wall Street had engaged in irresponsible behavior, Sen. Corker laid out some elements of the bipartisan legislation. Paraphrasing Sen. Corker's remarks, he said that if the treasury buys assets (financial services companies) in an appropriate manner and the protections put in place are properly carried out (by regulators, auditors), the taxpayer will be protected. Furthermore, any shortfall in selling these assets down the road shall be paid for by the financial institutions that benefited from the legislation. The full legislation can be found on www. financialservices.gov.
The secretary of the treasury will be the key figure in making the hard decisions regarding which assets to buy.
Congress and the new administration will have tremendous responsibility to ensure appropriate regulation and oversight. That knowledge should make us think long and hard about who and how we choose our president because he will appoint the next secretary of the treasury. He will have veto power over regulatory legislation and he will set the tone for enforcement by the appropriate government agencies.