Wolves Guarding The (Hen) House

by Stuart Shapiro

It’s often said that politicians just want to do what lobbyists or special interests tell them to do.  Rarely, however, do politicians admit it.   Let me introduce Rep. Spencer Bachus (R-AL), your new Chair of the House Financial Services Committee.

Bachus, in an interview Wednesday night, said he brings a “main street” perspective to the committee, as opposed to Wall Street.

“In Washington, the view is that the banks are to be regulated, and my view is that Washington and the regulators are there to serve the banks,” he said.

He later clarified his comment to say that regulators should set the parameters in which banks operate but not micromanage them.

A gaffe was once defined as a politician inadvertently speaking the truth.  I don’t think we’re likely to get a better example of a gaffe any time soon.

By: Stuart Shapiro

Stuart is a professor and the Director of the Public Policy
program at the Bloustein School of Planning and Public Policy at Rutgers
University. He teaches economics and cost-benefit analysis and studies
regulation in the United States at both the federal and state levels.
Prior to coming to Rutgers, Stuart worked for five years at the Office
of Management and Budget in Washington under Presidents Clinton and
George W. Bush.