Biden Advocates for Congressional Stock Trading Ban Amid Ethical Concerns and Economic Challenges

President Biden throws his weight behind a congressional stock trading ban, raising ethical questions and sparking debate.

At a Glance

Biden supports bipartisan calls to end stock trading for congressional members
A bipartisan group of Senators introduced legislation to ban stock trading for Congress members, their spouses, and dependents
Biden criticizes the ethical implications of lawmakers trading stocks with insider knowledge
The proposed ETHICS Act includes penalties for violations and has not yet been voted on by the full Senate
Biden’s stance comes amid broader economic challenges and efforts to provide student debt relief

Biden Takes a Stand on Congressional Stock Trading

President Joe Biden has publicly endorsed calls to ban stock trading by members of Congress, marking a significant shift in his stance on this contentious issue. The President’s comments come as part of a broader discussion on ethical governance and economic challenges facing the nation.

In a recent interview, Biden questioned the ethics of lawmakers trading stocks while possessing insider knowledge from their positions. He stated, “I don’t know how you look your constituents in the eye and know because of the job they gave you, gave you an inside track to make more money. I think we should be changing the law.”

“I don’t know how you look your constituents in the eye and know because of the job they gave you, gave you an inside track to make more money. I think we should be changing the law.” – Biden

This marks the first time Biden has publicly taken a stance on this issue, having previously avoided commenting on congressional stock ownership. The President’s support aligns with a growing bipartisan movement to address potential conflicts of interest in the legislative branch.

President Biden says he is in favor of a ban on stock trading by members of Congress. https://t.co/3D7sZqbJzT

— NBC News (@NBCNews) December 18, 2024

The ETHICS Act: A Bipartisan Effort

A bipartisan group of Senators has introduced the ETHICS Act, a comprehensive piece of legislation aimed at banning stock trading not only for lawmakers but also for their spouses and dependent children. The proposed bill would also require divestment by the president and vice president.

“a commonsense piece of legislation that helps maintain trust in this institution.” – Sen. Gary Peters

The ETHICS Act includes penalties for violations and has not yet been voted on by the full Senate. If passed, it would prevent lawmakers from buying stocks and other financial assets, and restrict them from selling stocks 90 days after the law’s enactment. The legislation’s provisions for spouses and dependent children would take effect in 2027.

Economic Challenges and Public Sentiment

Biden’s advocacy for the stock trading ban comes amid broader discussions about the U.S. economy. While highlighting improvements in macroeconomic factors, the President acknowledged ongoing public dissatisfaction, particularly regarding high prices for basic goods in the post-pandemic era.

The President also addressed corporate greed and the outsourcing of labor for cheaper production costs. “Corporate America got greedy and what they decided to do is find the cheapest labor in the world. Send the product they were going to make to that state, that place, that nation and import the product back,” Biden stated, linking these practices to economic challenges faced by American workers.

Biden supports a ban on congressional stock trading https://t.co/mc58yyY1CX

— Post Politics (@postpolitics) December 17, 2024

Student Debt Relief and Economic Impact

In addition to addressing congressional ethics, Biden highlighted his administration’s efforts to provide student debt relief. The White House has reported over $175 billion in debt relief for more than 4.8 million Americans, focusing on those in public service loan relief programs and victims of college fraud.

The President also pointed to the CHIPS and Science Act’s impact on job creation, though he noted that its effects are not yet widely felt by the public. These measures, along with the proposed stock trading ban, form part of Biden’s broader strategy to address economic challenges and restore public trust in government institutions.

As the debate over congressional stock trading continues, the proposed legislation and Biden’s support for it represent a significant step towards addressing long-standing concerns about potential conflicts of interest in the highest levels of government. The coming months will likely see increased discussion and potential action on this issue as it moves through the legislative process.