So can we expect two years of Congress and the Executive Branch trying to outdo each other on spending control? Markets won't mind at all.
And what of the outlook for even higher regulations on business? Stories of CEOs backdating stock options fill the financial pages these days. But will this fuel new restrictions on hedge funds and private equity funds?
"I'm reluctant to see additional regulation," the vice president said. "In general ... I think you can make a case that Sarbanes-Oxley went too far."
Pelosi herself said the Democrats want to relieve some of the over-regulatory pressure of Sarbanes-Oxley. More stolen bacon?
Cheney shrugs, "We'll be happy to work with them on it."
The vice president ended our talk by noting how optimistic he is with the elections only days away: He thinks the Republicans will hold the House and Senate. I'm optimistic, too, but for a different set of reasons.
Adding all this up, key Democrats say they won't raise taxes if they take the House -- and if they do try, the president will be there with his veto pen. Think Grover Cleveland, who holds the American record for presidential vetoes. The Democrats also are at least talking spending restraint, as are Cheney and his boss. And not only is the veep saying no to new regulations, there could be bipartisan agreement that Sarbanes-Oxley has gone too far.
This could be the real message of the Goldilocks market: a Reaganesque policy mix of low tax rates, limited spending and less regulation. It would continue the greatest story never told.
Or am I being too optimistic? |