WASHINGTON -- President Barack Obama is offering a broad-scale overhaul of the financial system, saying hard times struck largely because a post-Depression era business regulatory scheme couldn't keep up with an increasingly global economy.
In remarks readied for the unveiling of new rules to govern business, Obama attributed much of the country's current problem to "a cascade of mistakes and missed opportunities" which happened over several decades.
His plan would bestow vast new powers on the Federal Reserve, authorizing it to oversee the entire financial system. It also would create a new consumer protection agency to guard against the types of abuses that played a big role in the current crisis.
The president said in his prepared remarks that "a culture of irresponsibility took root from Wall Street to Washington to Main Street."
THIS IS A BREAKING NEWS UPDATE. Check back soon for further information. AP's earlier story is below.
WASHINGTON (AP) _ The Obama administration has unveiled a sweeping regulatory overhaul that it hopes will restore confidence in the U.S. financial system and prevent a repeat of the worst crisis to hit Wall Street in seven decades.
The plan would give new powers to the Federal Reserve to oversee the entire financial system and would also create a new consumer protection agency to guard against the types of abuses that played a big role in the current crisis.
The 88-page white paper put forward by the administration Wednesday will spark intense debate in Congress, with opponents already charging that it imposes too many restrictions that will harm the ability of financial companies to compete in the global economy.
© 2009 Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.
|
