Lehman Anniversary: Obama to Push Reform

As the anniversary of the collapse of Lehman Brothers arrives, President Barack Obama prepares to address the nation on regulatory reform. His speech should be coming on momentarily, and he is expected to push for simpler regulations that actually do what they are supposed to do. He is also expected to try and drum up support for his idea of having a consumer protection agency.

The idea of regulatory reform has sort of fallen off the map recently, what with health care reform taking up all sorts of space and other concerns crowding to the front. But as the world commemorates the fall of Lehman (which some say was the trigger for the global financial crisis), the Obama administration is bent on bringing regulatory reform back to the forefront of the national consciousness.

Of course, lobbyists and Wall Street are a bit leery of reform, and main street is a bit hesitant as well. Investors and business types worry that it will stifle business — and earnings. Regular folks just wonder if it will work.

Prudent and simple regulations that force transparency in business practices have the potential to be truly helpful for the economy, and to provide a basis for solid earnings and profits. However, it requires a balance between regulation and business protection and over-regulation, which can slow innovation.

Image source: Daylife