Thomas Hoenig, a member of the Federal Deposit Insurance Corporation whose nomination was offered by Senate Republicans, has been a vocal supporter of breaking up large financial institutions, and Richard Fisher, president of the Dallas Fed, has made similar comments. Former Citigroup CEO Sanford Weill, the godfather of the behemoth financial institution, shocked the financial world when he declared in July that some large firms should be split up.
Mark A. Calabria, director of financial regulation studies at the libertarian Cato Institute and a former Senate aide, does not expect Congress to take up the issue in a serious way, saying wrangling over implementation of the 2010 law was more likely to occupy lawmakers’ focus.
“It’s hard for me to see how this happens in an environment where you don’t sort of repeal and replace Dodd-Frank,” Calabria said, adding it remains unlikely no matter who takes power after the November elections.
“Because there are so many rulemakings and so much controversy around Dodd-Frank, it sort of sucks the oxygen out of the room,” he said.
Former Sen. Scott Brown, R-Mass., candidate for U.S. Senate in New Hampshire, holds his hand over his heart during the singing of the national anthem as he waits to take the stage for his town hall campaign rally with Sen. John McCain at the Pinkerton Academy in Derry, N.H., on Monday, Aug. 18, 2014.