Let's do a quick history lesson. The Federal Reserve was created to ensure that financial crisis' don't happen in the first place. They were created in 1913 to stop the run in early 1922, then again in 1929/1933, then in the 1940's, etc all the way to 1987, late 1990's then of course this massive housing bubble.

So we want to give authority to the Fed to prevent the very thing they were designed to prevent in the first place.Clear evidence that the Fed is not working at all, as intended.

Another point of concern. The Fed is a private institution. It is not a branch of the Federal government. As a private institution it has been handed a government monopoly. As a monopoly we have regulatory entities that oversee the Fed. Now those regulatory entities, public ones mind you, are going to be absorbed by the very entity they are to regulate, or oversee. Is this a classic case of the fox guarding the henhouse?

I have no doubt that cleaning up certain aspects of Wall Street is prudent. This is clearly not the answer. In time it will be mourned just as NCLB, Patriot Act, Real ED, etc.