Recent federal financial regulations are stifling businesses and preventing job growth, according to hedge fund investor Ken Langone.
Langone, who chairs Invemed Associates, said that regulations should be passed to protect people, according to CNBC.com. Instead, rules from last year’s Dodd-Frank law are creating regulations that punish people.
Bernie Marcus, who co-founded Home Depot with Langone, agreed that the Dodd-Frank compliance costs are “enormous.”
"Dodd-Frank is a really serious problem for small business people," Marcus said, according to CNBC.com. "Dodd-Frank is really causing the demise of the community banks and community banks for small business people are critical because this is where they get the cash flow from."
Langone said that a solution to such problems would be Congressional term limits because politicians tend to lose their sense of reality and their common sense.
Marcus said that politicians should leave Washington, D.C., more often so that they can talk to people.
"When we were running the company we spent 40 to 50 percent of our time in the stores, talking to customers, talking to [sales] associates, walking the floors," Arthur Blank, another Home Depot co-founder, said, according to CNBC.com.
Blank said that by being on the floor they were able to know what was going on in their business as opposed to just reading reports and hearing third hand information.