Democratic presidential candidate Hillary Clinton said this week that she will crack down on Wall Street in an attempt to appeal to the far-left. Shortly after the declaration, a Clinton campaign adviser said she will not reinstate the Glass-Steagall Act, reported The Hill.
“You’re not going to see Glass-Steagall,” said Clinton campaign adviser Alan Blinder. The Glass-Steagall Act was passed in 1932 to ensure the separation of commercial and investment banks. However, Clinton’s husband, former President Bill Clinton, signed the Gramm-Leach-Bliley Act of 1999, which repealed much of Glass-Steagall. Had it not been for the repeal, the recession might not have been as impactful as it was.
Clinton vowed that if elected, she would be tough on the big banks, “go beyond” Dodd-Frank regulations, and said she would prosecute criminal bankers. She echoed the sentiments of populist Democrats Sen. Elizabeth Warren (D-Mass.) and her presidential opponent, Sen. Bernie Sanders (I-VT). Considering her close ties to Wall Street banks, America is more likely to see pigs fly.
In order to right America’s economic ship, a Democratic candidate must be willing to go all the way. By refusing to break up the banks, Clinton falls short. The president must attack the Wall Street problem head-on and from all angles. Clinton is playing the popularity game by pandering to the populist left while going easy on the banks.
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