The More Capital, The Safer the Bank
Wall Street Journal. Local pdf. This piece counters many arguments for low bank capital requirements. Capital is not reserves, the required return on equity is lower for better capitalized banks. (Modigliani and Miller work at least a bit.) And no, Dodd-Frank does not mean banks are forever more free of risk.
For more on bank capital requirements, see Anat Admati's Stanford website. Here's the source for quoting Dan Tarullo on more capital. The other side that I was making fun of: JP Morgan testimony and The Clearing House Open Letter. Here is the New York Times mixing up capital with reserves and stating as a fact -- not a quote, not a theory, not an opinion, just a undeniable fact -- that higher capital requirements mean less lending.