[rayiner]

That's not the argument. The argument is: "if this mode of reasoning is valid, and pursuant to it we must do something about HFT, then we would also feel compelled to do something about X, Y, and Z as well. But because we don't feel compelled to do something about X, Y, and Z, that implies that the mode of reasoning is not valid."

In other words, he disagrees with the premise that compensation need bear some relation to economic value created. Empirically, that's a premise that we as a society reject.