Great Article About Banks

[pongo]

Which boils down to, if we take our money out of the banks they are fucked and we may be also.

 

No because ultimately you have to put it into something else - ie to recycle it in the system of which the banks are a part. Unless you either put it under the bed or else burn it - both of which are more or less the same and would benefit the government (and the banks) so significantly that we all might actually be better off. If you burn it they can print some more and give it to the banks.

 

It's a pointless what-if.

[jimbms]

But the point is that if we have it in cash and the banks don't then they have no money to lend thus the system collapses

[pongo]

But the point is that if we have it in cash and the banks don't then they have no money to lend thus the system collapses

 

But they can already lend against their own profits from lending and against money which is in the system as a whole. Or against liquidity pumped into the system by central banks - since it's not our money ultimately - whatever you mean by money. It's a promise which belongs to the issuers. And they can make more of it.

[bellyup]

Which boils down to, if we take our money out of the banks they are fucked and we may be also. I think Zimbabwe learned that too late.

 

Alternatively leave it in and get f***** anyway after all according to some banks should be allowed to fail .