I’m not saying the Big Banks love the 2010 Dodd-Frank financial regulation bill. I’m saying they can live with it — and that their smaller competitors cannot. Thus, the law will cause more consolidation in the financial sector, possibly leading to more instability.

This is part of what JP Morgan chief Jamie Dimon meant when he said Dodd-Frank would expand the “moat” around the big banks. This is what the Columbia (Mo.) Business Times reported on, regarding the regulatory threat to small banks. This is part of the reason Wall-Street’s lobbyists talked Republicans out of trying to repeal the law.