Global regulators impose regulations on banks that make them less competitive in the lending market (despite the lower cost of borrowing). The report recognizes that non-banks have stepped in where the banks were disabled.

Independently of any developments in antitrust law, the Senator should ask what can be done right now to reduce the burdens of regulation. As to solutions for the "concentration problem," it would be useful if Senator Warren advocated the unqualified lightening of regulatory millstones immediately.

Facts belie the legislators' political assertion that Dodd-Frank has had the effect of shrinking big firms and increasing market share for smaller firms. A look at the three most significant types of Dodd-Frank-regulated financial intermediaries: banks, broker-dealers and futures commission merchants ("FCMs") makes this clear:

In the case of FCMs, CFTC Commissioner J. Christopher Giancarlo provides the statistics: "[T]he number of FCMs has dramatically fallen in the past…

The proposed bill is a politically charged document. Most of it cannot withstand economic scrutiny. At a minimum, the legislators should (i) quantify the costs of the proposal and (ii) discuss the effect that raising financial transaction costs for no economic reason will have on business activities in the United States.

Consider the proposed requirement that closeout netting cannot be used to determine capital requirements: if Firm A owed Firm B five dollars on one…