By Jim Harper
The financial regulation the Senate is debating may undo your financial privacy.
If someone asked you what’s wrong with a planned economy, your first answer might not be “privacy.” But it should be. For proof, look no further than the financial regulation bill the Senate is debating. Its 1,400 pages contain strong prescriptions for a government-micromanaged economy—and the undoing of your financial privacy. Here’s a look at some of the personal data collection this revamp of financial services regulation will produce.
The “Office of Financial Research” (sec. 152) will have a “Data Center” (sec. 154) that requires submission of data on any financial activity that poses a threat to financial stability.
Use your noggin, now: Will government researchers know in advance what might cause financial instability? Will they home in on precisely that? No.
This is government entrée into any financial activities federal bureaucrats suspect might cause instability. It’s carte blanche to examine all financial transactions—including yours. (Confidentiality rules? The better view is that privacy is lost when the government takes data from your control, but we’ll come back to confidentiality.)
Continue reading Planned Economy, Privacy Problems