Special interest groups
Cry Wolf Quotes
In 1989, sympathetic members of Congress got the Home Mortgage Disclosure Act amended to force banks to collect racial data on mortgage applicants; this allowed various studies to be ginned up that seemed to validate the original accusation… bank regulators required the loosened underwriting standards, with approval by politicians and the chattering class. A 1995 strengthening of the Community Reinvestment Act required banks to find ways to provide mortgages to their poorer communities. It also let community activists intervene at yearly bank reviews, shaking the banks down for large pots of money.
The moment you get either people or lawyers apprised of the fact that a company has a toxic material on their premises, they’re going to bring a lawsuit.
The class-action bill would open a happy hunting preserve to ambitious lawyers with a quick eye for the plump bird. They are not likely to be much concerned with fraud in the ghetto: No money there. But has a major manufacturer gotten a little too exuberant in his advertising? Has he promised a ‘benefit’ that may not be fully deliverable? Well, then, let us find 10 customers ready to say they’ve been damaged, and let us sue in the name of 10,000 more.
Prior to the passage of this legislation [the OSH Act], certain special-interest groups (i.e. unions) testifying in support of punitive legislation attempted to describe American business management as irresponsible and unsympathetic to safety on the job….We continue to maintain that standard setting should be carried out by an independent board of experts who are not subject to the pressures of special-interest groups.
