by Andy Winkler, Ben Gitis, Sam Batkins
American Action Forum
July 16, 2014
The Dodd-Frank Act limps into its fifth year of implementation, saddled by an unconstitutional recess appointment, several setbacks in federal courts, and an expensive regulatory portfolio. The Act imposed 398 new regulations that have thus far added more than $21.8 billion in costs and 60.7 million paperwork burden hours. These measures have transformed the financial industry, overhauled mortgage lending, and directly affected the availability of credit. Small financial services firms continue to struggle as the law restricts the availability of financial products, while the business of housing finance reform remains conspicuously unfinished. With roughly one-quarter of the law still left to implement, it’s safe to say that the true economic impacts won’t be understood for years – but one can only expect the costs to continue to rise.