Bill Ackman pushes back against Trump's recent proposal to cap credit card interest rates at 10% for one year, calling it economically flawed. Here's the crux of his argument: if lenders can't charge rates high enough to offset defaults and maintain healthy returns on equity, they'll simply exit the market. It's not about greed—it's basic math. When you artificially suppress rates below what covers actual risk and capital requirements, card issuers face a choice: take losses or stop issuing cards entirely. The second option is what happens in practice. Consumers expecting easier credit access could actually face the opposite—reduced availability, stricter approval standards, or higher fees on other products to compensate. This kind of price control typically backfires by reducing supply rather than making credit more affordable. The lending ecosystem depends on risk-appropriate pricing. Force that pricing down artificially, and you shrink credit availability precisely when people need it most.