BRIEF ESSAY: GOP SUPPORTS $9 B IN PORK-BIG BANKS

The Washington Post,  moderate-conservative U.S. News World Report, Mother Jones and other progressive magazines do a decent job of reporting Wall Street's efforts to destroy Dodd-Frank. But on line research seems to indicate that they do not report the "pork"and "logrolling" aspect of what is now a huge issue.

First let us examine part of what Dodd Frank regulates.  What is important are derivatives and one kind of them, credit default swaps.

 ^{Credit Default Swaps (CDS), for which the inherent risk is considered high, the higher, notional value, remains relevant. It was this type of derivative that investment magnate Warren Buffet referred to in his famous 2002 speech in which warned against “weapons of financial mass destruction.” CDS notional value in early 2012 amounted to $25.5 trillion,[8] down from $55 trillion in 2008.[9]  From Wikilinks.}

Credit Default Swaps and other derivatives caused the crash of the

stock market and the great recession.  Morgan Chase alone lost 

6 Billion dollars in derivatives in London, particularly because of 

 CDS'S.  Wall Street caused both the crash and the Great

Recession. 



Wall Street, which wants to destroy Dodd Frank last week got

the House Of Representatives to pass a bill stopping the

regulation of derivatives.  (Obviously Wall Street's unlimited

resources were put into play.)


Why should Wall Street attack regulation of derivatives first?  

It's because the biggest profits and bonuses for the Street are 

generated by them.


Now to the logrolling aspect of the repeal of derivative regulation

in Dodd Frank.  Logrolling occurs when a congressperson agrees

to a bill that he/she is not particularly interested in and/ or, they 

are not interested in but are corrupt.  In exchange for a "goodie," 

also known as "pork" a congressperson will sell their vote in 

exchange for some port for their congressional district.  The

goodie could be for a post office, construction that would

employ workers, etc.


The pork in the bill will cost taxpayers 9 Billion Dollars!  It is

astonishing that Republicans, who brag about their refusal to

vote for bills that involve excess spending have been

engaged in a process that costs so much if the Senate passes

the same bill.


The logrolling aspect and the pork involved in the passage of

repeal of regulations of derivatives in Dodd-frank, not covered

by the mainstream media and, above all, by the progressive 

press is depressing.  The public needs to know the facts of the

case.


If the repeal of the derivative provision of Dodd-Frank is repealed 

we are being set up for another crash and taxpayer bailout of 

Wall Street.