European Central Bank President Mario Draghi is worried. The European is afraid of any relaxation of banking regulations in the US; it might cause some instability. Never mind that instability is a Critical Item for innovation and growth, whether economic, political, technological, or anywhere else. As he testified before the European Parliament Committee on Economic Affairs,
The last thing we need at this point in time is the relaxation of regulation….
The fact that we are not seeing the development of significant financial stability risk is the reward of the action that legislators and regulators and supervisors have been undertaking since the crisis erupted[.]
No, the suppressed economic growth we’ve experienced is the punishment from the action that legislators and regulators and supervisors have been undertaking. The noise of freedom and innovation and growth is so terrifying that the punishment is better than the progress.
Or the bureaucrat simply is dismayed at the potential loss of power because the contagion from the US might spread to Europe.