In The News: Banks Fine-Tune Critiques of US Capital Plan to Sway Fed’s Michael Barr (Bloomberg)

Banks are spending “vast lobbying dollars to cloak themselves in the mantle of preserving access to credit,” [AFR] said. “But the truth that the banks avoid debating is that the overwhelming impact of higher bank capital is — by design — to restrict how risky and how big the more speculative aspects of their business, notably their trading and investment bank operations, can grow.”