Humanity has been always prone to threats of varying magnitude since ages ago. In return, humanity responded splendidly and evolved in the process. Still, several encounters with diverse calamities did not yield an acceptable outcome since the loss was just too great. We call it Pyrrhic Victory, a victory gained in exchange of an overwhelming loss. A prime example of humanity’s greatest struggle was the Global Financial Crisis of 2008, also known as the Great Depression. Preceding World War 2, the Great Depression defined helplessness to the face of earth where major financial sectors and institutions around the world took a decisive turn downwards, unemployment was widespread and the future, dim. As a result, the Wall Street Reform and Consumer Protection Act, commonly referred as the Dodd-Frank Act were signed into law.
Dodd-Frank was named after the Financial Services Committee Barney Frank, and Former Chairman of the Senate Banking Committee Chris Dodd due to their considerable contribution and involvement with the bill. On July 21, 2010, Dodd-Frank was signed into law by President Obama at the Ronald Raegan Building in Washington DC. The Wall Street Reform Bill has brought comprehensive set of legislative reforms to financial regulation in the United States since the Great Depression in the 1930’s. The Dodd-Frank Act aspires to consistently promote financial stability in the United States by heavily focusing on the improvement of accountability and transparency in financial regulation.
Three years after Dodd-Frank was signed into law, its implementation has been partial at best since there were many setbacks underway. In the year 2013, the provisions that were finalized were estimated only to be 40 percent of Dodd-Frank’s 400 total provisions. Consequently, the bill’s effectiveness was put into question. Several entities implied that Dodd-Frank is doomed to fail and that the regulatory system would be wrapped in chaos for years. Also, others suggest that the law was aimlessly established and it failed to address central issues such the remarks, “too big to fail” (TBTF) concerning banks that are also tied to disrupting morality.
It’s not that Dodd-Frank Act’s rough sailing on the sea of antagonists was unexpected; of course, oppositions’ presence will remain eternally existent. The bill’s reform is geared toward protecting consumers with rules, and along the way, many will find it harmful or as a disservice to their own interest. In any case, changes of the Dodd-Frank Act remains open for revision for the purpose of improvement. The global reaction as a whole is constantly varying by the second, and that the world is continually progressing to find better means of countering crisis is a significant virtue despite the swirling animosity.