The Way to Fix the Volcker Rule

The Trump administration is taking aim at the Volcker Rule, one of the core elements of the Dodd-Frank financial reform, saying it's too complex and burdensome. That's true, but improving the rule shouldn't mean weakening it.

The rule has a vital purpose: denying taxpayer subsidy to speculation. It therefore bans speculative trading at financial institutions with access to federal deposit insurance and emergency loans from the Federal Reserve -- backstops meant to support lending to people and companies, not betting on securities and derivatives.