Sec. Paulson just proposed a series of changes, and U.S. Senate Banking Committee chairman Chris Dodd response call it a , “ pitch. … It’s not even close to the strike zone.”

I agree with the distinguished gentleman from Connecticut.

My analysis is that this is an attempt to make fixing things more difficult.

In proposing that the Federal Reserve have additional regulatory authority and responsibility, Paulson is trying to transfer this from executive agencies, which would follow the direction of the next president, to an independent organization which has been loaded to the gills with Bush toadies over the past 8 years.

Additionally, by putting these powers in an organization almost wholly dedicated to monetary policy, it means that other actions, either through fiscal policy (Keynesian budgets), or regulation will get the short end of the stick.

The biggest strike against this is the enthusiastic endorsement from the financial industry. If the people who f%$#ed this up in the first place like the proposed regulatory regime, it’s likely that this regime sucks wet farts from dead pigeons.