April 15 - Summarizing the insurmountable problems faced by the American
financial institutions as they try to implement the Unlawful Internet
Gambling Enforcement Act, the prestigious publication, Wall Street
Journal last week seemed to call for increased backing for Barney
Frank's idea to regulate the online gambling industry.
What was so surprising about the open-ed article is that the traditionally
conservative Wall Street Journal saw fit to bring the issue from one that was,
until then, limited to the fringes to one that is central enough to be
considered mainstream.
The article, entitled "Time to Fold", explains the impact that the UIGEA
has had on the US economy, outlines the World Trade Organization conflict that
may cost the country millions of dollars in compensation claims, and discusses
the recent Congressional hearing where Federal Reserve and Treasury officials
explained their difficulty in implementing the law.
The article approved of Barney Frank's ideas to regulate the online gambling
industry. "We have our differences with House Financial Services Chairman Barney
Frank, but he may have been onto something when he introduced a bill to exempt
licensed operators from the ban," said the article.
The article explained the issues that the rest of the world, especially
Europe, has with the United State's exclusionist policy. "For a change, the
Europeans stand on the side of free trade, while America dabbles in regulatory
overreach," it was noted.
The article concluded that "gambling is a vice, and social problems attach
themselves to it. By legalizing and regulating the business, however, Washington
could more effectively battle such problems as underage gambling and addiction.
It would also avoid unnecessary trade tiffs with its leading commercial
partners. And it would exempt cyberspace from overaggressive regulators, in
America or anywhere else."
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