Concerning the new Consumer Financial Protection Bureau….
“The pending legislation puts the new bureau inside the Federal Reserve, though it would operate independently of the Fed on policy and enforcement matters. It would be financed by the Fed—not by congressional appropriation, giving it unusual latitude—to satisfy concerns from Senate Republicans about creating an entirely new federal bureaucracy.
Former Fed Vice Chairman Alan Blinder called the arrangement the “single dumbest thing in the bill. It’s going to be unworkable.””