Investors could be in for more booms and busts as independence from the White House and Congress continues to erode for the Securities and Exchange Commission, the Federal Reserve and the other financial regulators, contends a leading academic observer of the agencies. Rao said OIRA could help insure rules coming from financial regulators are consistent with the law and that the cost-benefit analysis performed in their development is done right. Financial regulators have to be counter-cyclical. The term independence is written into the laws establishing the SEC and other financial regulatory agencies. It often refers to the independence of the agencies from the White House in part because the President can only remove Senate-confirmed appointees to them with cause.

Source: Forbes January 26, 2018 17:48 UTC