President Donald Trump has signed an executive action restricting the possibility for federal agencies to enact new regulations, a limitation that could apply not only to the economy but also to the environment.
The new executive order stipulates that for every new federal regulation, two must be revoked – this is another Trump campaign promise fulfilled, and a very big step towards draining the swamp. Trump said he was going to do “a big number” on the Obama legacy of financial regulations.
“It is important that for each new regulation enacted, at least two previous regulations have been identified with a view to their removal,” says the presidential text.
According to this decree, the army, national security and foreign affairs are the only sectors not to be affected by this limitation, which should therefore apply everywhere else.
The Obama administration had repeatedly taken steps to constrain the financial sector regulations, including the Dodd-Frank law re-framing Wall Street actions, which was voted in 2010 to avoid the excesses that led to the financial crisis of 2008- 2009.
However, in reality, “Dodd-Frank is a disaster,” said President Trump on Monday at a White House meeting with small business owners.