Presidential candidate and former Speaker of the House Newt Gingrich claimed in a recent Washington Post editorial that the Dodd-Frank Act is slowing economic growth in the U.S.
"Mr. Dodd claimed that Dodd-Frank cannot be deepening the economic slowdown because only 10 percent of its provisions have been implemented," Gingrich wrote, WashingtonPost.com reports. "In fact, it is this sheer ambiguity and arbitrariness of the law that hurts businesses most."
Gingrich wrote that the uncertainty created by the almost 400 rules unelected federal regulators are tasked with writing by the Dodd-Frank Act make it almost impossible for job creators to plan, take risks, invest or hire more Americans.
Gingrich also took issue with Chris Dodd's (D-Conn.) contention that Dodd-Frank wasn't bad for small banks or that it failed to reform Wall Street.
"In fact, Dodd-Frank solidifies the very 'too big to fail' system it sought to eliminate," Gingrich wrote, WashingtonPost.com reports. "By designating a handful of large banks and institutions 'systemically important,' the federal government implicitly acknowledges that these banks are eligible for more bailouts. This creates two classes of banks: big banks that have a federal guarantee and the resources to comply with the maze of new regulations, and smaller banks that have neither."
The former speaker closed his editorial by calling for the dismantling of the Dodd-Frank Act.