Last week Senator Judd Gregg (R-NH) released a statement regarding the Blue Chip Ecomoic Indicators report. Here is the statement:
U.S. Senator Judd Gregg (R-NH), a member of the Senate Banking Committee, today issued the following statement regarding the July Blue Chip Economic Indicators report citing that 92.7% of the economists surveyed by Blue Chip believe the financial regulatory reform legislation working its way through Congress will decrease the availability of credit to the economy. Only 7.3% said the legislation would increase credit availability.
Senator Gregg stated, “A recent Blue Chip report confirms the negative economic effects of the Democrats’ financial regulatory reform legislation. More than 90% of the experts surveyed believe that this legislation will decrease credit availability in our economy. Ultimately, small businesses and working families will be hit the hardest when they lose access to affordable credit, thereby slowing economic growth and job creation across the country.
“Our goal should be to enact regulatory reform legislation that addresses the core issues of the financial crisis and reduces systemic risk, while also maintaining America’s unique competitive advantage as the premier destination for capital formation and job creation. The Democrats’ bill, which the House of Representatives passed last week, unfortunately falls short on all of these objectives. During a time of economic recovery, this legislation threatens to drag our economy back into a recession and fails to provide the necessary reforms that will bring confidence and stability to our financial sector.”
Access to capital was a major reason for the economic downturn. Businesses were unable to borrow short term money to take care of payroll and other operating costs so they shed them. This bill if enacted will act like a brake on the economy, destroying the nascent fragile recovery. Senator Brown, the vote has not yet happened. You still have the ability to stop this legislation. Please reconsider.