The SEC Changes Direction

This morning, President Bush announced Christopher Cox got his nod for the new chairman of the Securities and Exchange Commission. The choice of Cox, a Republican congressman from California, indicates the SEC may ease its enforcing ways and promote a pro-business climate. Cox authored a 1995 law that, some say, made it difficult to sue corporations. He opposes capital-gains taxes and supports limited government. And before going into politics, he was a corporate lawyer handling financial and venture-capital issues.

His background is solid. Yet his aggressive pro-business stance raises several questions. Is Bush trying to move away from the tough enforcement that the SEC imposed under William Donaldson? Is Bush trying to show just how pro-business he is (and, by inference, how anti-business Democrats are?) As for Cox, will he return to the pre-Enron version of the SEC? Will he enforce Sarbanes-Oxley strictly, or work on repealing it? Tell us what you think the future of the SEC will--and should--be.