In 2000, Congress passed a law barring states from regulating credit default swaps under their gambling and “bucket shop” laws. This set the stage for the market in “financial derivatives” that are a big part of what is causing the economic meltdown today.
One hundred fifty-five of the Members of Congress who voted for this law are still serving—and they’re up for reelection next week. You might want to take their votes on credit default swaps into account when you go to your polling place.
The Senate passed the bill on “unanimous consent.” Everyone just agreed to let it go through, including 22 Senators who are up for reelection.
The Justice Department’s Office of Inspector General says it will audit the department’s compliance with a...
