I don't entirely agree with you, but I like your "regulatory capture" argument. I'd say a really tough fractional reserve requirement of, say, 10% should be en

I don't entirely agree with you, but I like your "regulatory capture" argument. I'd say a really tough fractional reserve requirement of, say, 10% should be enough to stop banks going haywire in a credit bubble, but still let them make a profit. Instead, we have over-engineered regulations that lets banks maximize profits while locking out smaller competitors.