In the case of MetLife, Inc v. Financial Stability Oversight Council (FSOC), the Allied Educational Foundation and its partner, Washington Legal Foundation, have filed a brief before the U.S. Court of Appeals for the DC Circuit in support of MetLife”s challenge to its designation of “Too Big to Fail” by the FSOC, which was created under the Dodd-Frank Act. MetLife is an insurance company that does not engage in any high risk activity that contributed to the 2008 financial collapse. By being designated as “Too Big to Fail”, MetLife is now subject to unnecessary government control and massive and costly new regulation. In an effort to avoid some of that burden, MetLife is divesting a majority of its U.S. retail insurance operations. AEF is of the belief that the “Too Big to Fail” is a flawed concept where the cure is worse than the disease. It leads to more bureaucracy, excessive government control of private businesses, a higher cost of doing business which is passed on to the consuming public and taxpayer financed insurance coverage for bad marketplace decisions which gives larger companies a competitive advantage over smaller competitors.
AEF is dedicated to promoting a smaller, less invasive government and encouraging a return to a marketplace where private enterprise, not the government, makes business decisions. The American economy was built in an atmosphere of minimal regulation and competitive market forces where success goes to the strongest and smartest. AEF will continue to challenge government over-regulation which stifles economic growth. We welcome your support in this mission.