Bill Clinton defends repeal of Glass-Steagall

Former President Bill ClintonWilliam (Bill) Jefferson ClintonKentucky candidate takes heat for tweeting he'd like to use congressman for target practice Will Sessions let other 'McCabes' off the hook or restore faith in justice? Progressive group launches anti-Trump 'We the Constitution' campaign MORE has defended his decision to repeal Glass-Steagall, the Depression-era banking regulation that splits large financial institutions and is championed by liberals.

"Politicians — particularly now, in the aftermath of this crash — fear that anything they do will be held against them later if anything bad happens," Clinton told Inc. in an interview. "Look at all the grief I got for signing the bill that ended Glass-Steagall. There's not a single, solitary example that it had anything to do with the financial crash.”

Democratic presidential candidates Sen. Bernie SandersBernard (Bernie) SandersCongress to require FEC report on foreign money in elections DCCC adds first black candidates to list of top candidates Hillary Clinton’s sorry apology is why she’s no champion for women MORE (I-Vt.) and former Maryland Gov. Martin O'Malley have backed reinstating the policy, which would require big banks to divide their commercial and investment practices.

Democratic presidential front-runner Hillary ClintonHillary Diane Rodham ClintonWhite House would like to see Biden ‘in the boxing ring’ in 2020 House Judiciary chair subpoenas DOJ for FBI documents The suit to make Electoral College more ‘fair’ could make it worse MORE declined to take a position on the policy while campaigning in South Carolina last month.

"I think this is a much more complicated issue than to just point at any one piece of legislation and say, if we just pass that, everything would be fine," she said when asked about Glass-Steagall. "It's a more complicated assessment that just any one piece of legislation might suggest.”

Most economists at the Federal Reserve agree that former President Clinton's repeal of the policy in 1999 didn't contribute to the crash.

Still, Glass-Steagall has become a political wedge issue for Democrats in recent months, especially since Sens. Elizabeth WarrenElizabeth Ann WarrenWarren battles Carson: Housing discrimination 'the scandal that should get you fired' Overnight Regulation: Omnibus includes deal on tip-pooling rule | Groups sue over rules for organic livestock | AT&T, DOJ make opening arguments in merger trial Warren presses Mulvaney, Azar on tip pooling MORE (D-Mass.) and John McCainJohn Sidney McCainAfghanistan is our longest war ever and Congress has abandoned all responsibility Kremlin: ‘We have a long way to go’ before any breakthrough with US The GOP is Trump's party now MORE (R-Ariz.) reintroduced it in the upper chamber.

Bill Clinton told Inc. that he could support tweaking the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act — particularly on its impacts for community banks, which have lobbied for years that the regulations that are applied to big banks should not be applied to them.

"There should be a serious look at the impact of Dodd-Frank on legitimate community banks," Clinton said. "I think we ought to look at the way the Canadians regulated their banks. The Canadians had no financial crisis, you know. They always had unified banking — investment and commercial banking under one roof. But they had different rules for them."

Former President Clinton also called for the Small Business Administration to "become more aggressive" in its financing.