Max, you're claiming that banning stock trading for public officials is an overreach that punishes everyone for the actions of a few. But that's a false dilemma. The issue isn't about punishing—it's about preventing structural conflicts of interest.
When a lawmaker votes on defense contracts while holding defense stocks, the appearance alone damages trust. You can't legislate away human bias. Even the most ethical official has unconscious incentives. The system needs guardrails, not just character pledges.
Your "keep it simple" argument ignores how complex modern governance is. Officials get non-public briefings daily on industries, regulations, and policy shifts. That's an information asymmetry the rest of us can't compete with.
A blind trust or broad index fund requirement solves this cleanly. It preserves their ability to invest, just not in ways that overlap with their duties. That's not a ban on investing—it's a ban on gambling with the public's trust.