Elizabeth Warren is raising big questions about Scott Bessent’s plans. She’s worried about deregulation, tax policies, and financial transparency. Why? Past mistakes show that easing up on rules can backfire. Think 2008’s crash or Silicon Valley Bank’s collapse in 2023. Is a new crisis knocking at the door or can it be avoided?
Deregulation: Have We Learned Anything?
Warren isn’t against all deregulation, but she’s skeptical. She’s reminded everyone how cutting corners in the past led to financial disasters. In 2008, weak oversight let risky practices grow until the system crumbled. More recently, the collapse of Silicon Valley Bank showed how quickly things can fall apart when regulations don’t keep up. In a 31 paged letter to Bessent, she has asked over 180 questions.
She also questions Bessent’s ideas for key regulatory agencies. Will he shrink their role or privatize parts of them? Agencies like the FDIC and CFPB protect everyday people. If they lose power, who gains? Big banks? Wealthy investors? That’s what Warren wants to know.
Tax Cuts and Tariffs: Who Really Benefits?
Tax cuts always sound great, but Warren isn’t so sure. She argues that extending the 2017 Tax Cuts and Jobs Act mostly helps the rich and big corporations. Meanwhile, federal deficits could balloon. She’s asking: How is that fair to everyone else?
Tariffs are another area where Warren wants answers. She’s concerned about how they’ll affect inflation and production costs. Plus, she’s questioning past practices where tariff exclusions seemed to favor companies with political connections. Will new policies be any better?
What’s Next?
It’s not just big-picture stuff that Warren is worried about. She’s also asking about transparency. Will Bessent step away from financial interests that might cause conflicts? And will he push for better tax enforcement, especially for the wealthy?
These questions matter. If policies aren’t thought through, they could destabilize more than just the economy. Trust in the system is also at stake.
