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  • Video: JPMorgan's Dimon Takes on Fed Chairman Bernanke

    The U.S. economy continues to drag, but why’s the recovery going so slowly? The 13.9 million unemployed Americans aren’t the only ones who want to know.

    Yesterday, following a speech by Federal Reserve chairman Ben Bernanke (who described the economic recovery as “frustratingly slow”), JP Morgan Chase CEO Jamie Dimon grabbed the microphone and asked Bernanke whether excessive government regulations are hampering the growth. Dimon said:

    I have this great fear that someone’s going to write a book in 10 or 20 years, and the book is going to talk about all the things that we did in the middle of the crisis to actually slow down recovery. I don’t personally buy the argument that because it was a financial crisis it has to take a long time coming out . . .

    Has anyone bothered to study the cumulative effect of all these [regulations], and do you have a fear like I do that when we look back and look at them all, that they will be a reason it took so long that our banks, our credit, our businesses and most importantly job creation start going again? Is this holding us back at this point?

    Bernanke’s reply: “Has anybody done a comprehensive analysis on the impact on credit? Umm, I can’t pretend that anybody has. It’s just too complicated. We don’t really have the quantitative tools to do that.”

    Dimon is on to something.

    Last year, when Congress was considering the Dodd–Frank Bill and the enormous amount of regulations that went with it, Heritage’s David John and James Gattuso wrote that the legislation amounted to the largest expansion of Washington’s role in the financial industry since the Great Depression. Overall, they warned, it would do more harm than good, impacting consumers, businesses and the economy at large.

    Today we’re seeing the effects of the Obama regulatory state manifested in May’s miserable job numbers—only 54,000 new jobs, unemployment increasing to 9.1 percent, and the longest average length of unemployment the country has seen. Heritage’s James Sherk and Rea Hederman, Jr., write that excessive regulations are a big part of the problem:

    Unfortunately, policies from Washington have done more harm than good over the past two years. While the credit crunch had an impact on businesses, increased regulations and uncertainty about taxes and rules have delayed business expansion and hiring. Businesses, especially small businesses, have a hard time understanding how a certain regulation could affect their future business. This uncertainty means that businesses are less inclined to expand and add to their labor force.

    Even if the Fed doesn’t have the “quantitative tools” to analyze the effect of regulations on the economy, the results are pretty apparent.

    Watch video of the full exchange between Bernanke and Dimon above, and be sure to join the conversation with a comment below.

    Posted in Economics [slideshow_deploy]

    11 Responses to Video: JPMorgan's Dimon Takes on Fed Chairman Bernanke

    1. Bobbie says:

      Barnanke reply, “Has anybody done a comprehensive analysis on the impact on credit? Umm, I can’t pretend that anybody has. It’s just too complicated. We don’t really have the quantitative tools to do that.”

      WOW! WE HAVE CORRUPTION ON ALL SIDES AND BARNANKE ADMITS THEIR JOB IS TOO COMPLICATED! THEY DON'T HAVE THE TOOLS TO DO THEIR JOB! HOW CONVENIENT! TOO BAD IT FAILS ANY RECOVER TO AMERICA! How can such a high level of incompetence regarding matters of governmental authority (wherever that begins or ends,) be tolerated in this country?? EVER!! This is a call for corrective action! People with good intent don't take on matters that are "too difficult" for them at a loss to those that are obligated by force to pay for matters not within their control!

      Everything and most everyone involved with "government" is setting this country and all of us up to not only collapse but to necessitate marital law and since truth is being found out daily, more desperate acts of democrats will effect the election to postpone or eliminate! Releasing criminals. Refusing border enforcement. Declaring wars against procedure. Manipulating laws and rules, devaluing our lives and destroying the founding documents and everyone's individual life values. Obama holds no one (on his team) accountable as he himself holds no accountability…and so on and so forth.

      God Bless America! God Bless those who KNOW and COME to RESPECT America and those who COME TO KNOW and RESPECT America. God Bless America's true patriots who fight to regain America's strength against those who poison her good nature with intent to kill!

    2. George Colgrove, VA says:

      "Has anyone bothered to study the cumulative effect of all these [regulations?]"

      Corporate reporting to the government PRIOR to Obama had an aggregate annual cost measured in the TRILLIONS! Use that as a benchmark for an answer.

    3. L F Morgan, Newhall, says:

      Well stated and Right on! Am forwarding to everyone on my list!

    4. Tim Az says:

      I'm tired of the regime crying ignorance every time they wish to evade answers that would force them to accept the results of their actions and in actions. Ignorance is not a valid excuse to continue down a path to ruin just because the regime has a dream that the rest of refuse to be a part of.

    5. jweb says:

      Lie, Lie, Lie…smoke and mirrors…stage and script…so whose going to go? Jamie or Benny? Is Benny getting set up to take the fall for the bankster elites since the American (and even Euorpean) people are becoming awakened? Why isn't Jamie at Bilderberg this year? He is a frequent contributor. The real question is, will they place blame on Benny before or after QE3? The global elites that hide in the corporate banks/wall street/IMF, who are truly controlling our government, are going to go down. If not by the people, it will be by the Antichrist. He will bend them over HARD, and treat them the way they have been treating the people. When he is done, Christ Jesus will show the whole world who the real King is. It will happen in a full, grand display. At the end of the day, as it is written, "God is not mocked".

    6. jweb says:

      The link below is to a short animated feature about the Fed and their current activity in America…very, very good and informative..


    7. NeoConVet, Kentucky says:

      I saw his lips move…but what did he really say in reply to the question… NOT MUCH.

      - The dollar is declining in value (gas, food, commodity price up partially to this),

      - much of the business world (small & large) is frozen inplace with regulations choking them and unsure if profit can be retained or taxed away.

    8. Sandra Driscoll says:

      Obama has no clue about finance or economics..but he does understand redistribution or if it moves, tax or regulate it!

    9. Mike Jude, Denver Co says:

      The problem here goes way beyond the morass of new regulations that have been adopted. The fact is that new regulations beget bureaucracy to enforce, track and report on the new regulations. This ensures that the regulations won't go away very quickly because we automatically create a constituency that depends on them for a livelihood. Bernanke even admitted as much when he enumerated the new committees, panels and so forth that they created to provide oversight of the new rules. What we need to understand is that every new regulation erodes more of our freedom and becomes a self perpetuating dynamic dedicated to its own survival…even at the cost of society generally.

    10. Slick says:

      If we all wait for the government and/or its various related agencies to solve the problems in this country, you can be sure that you are loosing your freedom as fast as water running down a drain.

      Here's just a partial list of things that are being done TO us in just the past 2.5 years:

      raise the price of electricity – check

      raise the price of gas – check

      stop oil drilling – check

      promote Cap & Trade via the EPA – check

      take over the banking industry – check

      take over the housing industry – check

      take over the college loan program – check

      take over the auto industry – check

      take over the health care industry – check

      proposed restriction of owning fire arms – pending

      proposed regulation of the internet – pending

      proposed regulation of conservative talk radio and TV – pending

      proposed takeover of 401K's and Roth IRAs – pending

      proposed increase in taxes on job creators – pending

      etc., etc., etc.,

      The list is endless . . . HOW MUCH are we going to GIVE UP before we say . . . . NO MORE?????

    11. Chase r says:

      One question to ask…..does anyone KNOW how much of YOUR money is being invested behind the scenes by the banks at your cost?
      Those who choose no regulations better wise up. If you deposit a BANK Certified Check, the big banks tell you "days" before it clears – yet the wiring system has that money in their greedy hands within hours. And why is it, anyone requesting wired funds greater than 100,000 on a Thursday morning – well within the 24 hours domestic wire policy, are those wires not going through some time until 2-3 days later? Talk to any business person out there, any accountant that works with Chase, BoA, or Wells and you will find what we know – they are holding your money as long as they can to make short term investments on it. With no regulations, there are no limits on the securities these banks needs to keep. Right now they can invest and HOLD your money to invest it at a ratio 99%! And ask how many people have had to hire lawyers to get their funds because Chase claims they have long term IT problems? Better yet, they cannot find the VP they need to sign the paperwork BEFORE they change lawyers mid-stream to continue to delay the release of YOUR funds while they make money. YOU MIGHT BE SURPRISED! And GOD HELP anyone expecting an international wire greater than 100,000. The Fed will clear it within 5 days but the banks….they are within their right to hold that money as long as they DEEM necessary – nothing more- no more explanation – poof your money is gone for months or years and you spend for legal fees to fight for what is rightfully yours!!! Yes – the banking industry is overrun with greed and lack of regulations or watchdogs. Mr. Dimon is the protected leader of the wolf pack. His legal team have racked up more than 50 million dollars in just ONE case filed against them for contempt of court, unethical practices. 50million folks. They have no respect for the Federal court system, they don't have to, they hold all the Federal courts accounts. They have no respect our judicial system overall – just take a look at their legal budget and most recent $228 million dollar out of court settlement. Oh – yes, these bankers can claim all they want they will be hurt by new regs. Its bullshit. They took millions of dollars of taxpayer TARP money and did 1% of what they agreed to. How many Americans are losing their homes for Robo foreclosures? When there is no one watching the bank, bad things happen. If the economy fails one more time, you can thank every damn politician that protected them for the fall of our country! And to every voter who says "no more regs" say your prayers. You'll need them!

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