New Dealers imposed capital controls specifically to prevent bankers from speculating.

Evidence

Naturally, there had to be limits to how many dollars one could get for one’s ‘funny money’ – Greek drachmas, Italian lire, etc. These limits were known as capital controls: restrictions in the movement of money from one currency to another. They made the life of bankers wonderfully boring by denying them the opportunity to speculate on shifts in the relative value of currencies, which they would otherwise have done by shifting large quantities of money from one currency to another, from one country to another. That was, of course, intentional. Having been burned by the 1929 catastrophe, the New Dealers wanted bankers to live in a straitjacket of capital controls and almost fixed interest rates, with only tiny wiggle room of 1 per cent here or there. — Yanis Varoufakis, Technofeudalism, 167

Categorization

• XREF: Contrast that anchors the later argument: capital controls were the braking mechanism that the post-1971 liberalization removed, enabling today’s platform rent extraction. — connects to: Regulatory capital rules redefine banks as investor vehicles rather than funding distributors — Ève Chiapello, Financialisation of Valuation, 64; Financial reform legislation was converted into an effort to restrain regulators; Value-at-risk regulation indirectly pressures banks into forced selling — Donald MacKenzie, An Engine, Not a Camera: How Financial…, 1050
• corroborated: 2 independent passages support this claim — Yanis Varoufakis, Technofeudalism: What Killed Capitalism, 167

Broader Connections

• Regulatory capital rules redefine banks as investor vehicles rather than funding distributors #complicates (0.85) — Ève Chiapello, Financialisation of Valuation, 64
• Financial reform legislation was converted into an effort to restrain regulators #complicates (0.75)
• Value-at-risk regulation indirectly pressures banks into forced selling #complicates (0.75) — Donald MacKenzie, An Engine, Not a Camera, 1050