Bankers

What healthy smart banks & who would they have got the loans from if there were any?

samhill wrote:What healthy smart banks & who would they have got the loans from if there were any?

There were lots of banks that didnt make these mistakes. Haven't you ever heard of investers?
Here's one example. http://pittsburgh.bizjournals.com/pittsburgh/prne ... 04/CL21456

Sure small banks can suck up small banks under present conditions with approval, but if the big boys were allowed to fail they go down like a stone & everyone that has any money in any bank runs to get it out. There was even some of that last year if you recall, once there has been a run on the banks they are all closed simply because they don`t have your money. For the most part your money was invested with & in other banks & financial institutions, same thing caused the depression, local banks don`t have your money on hand.

samhill wrote:Sure small banks can suck up small banks under present conditions with approval, but if the big boys were allowed to fail they go down like a stone & everyone that has any money in any bank runs to get it out. There was even some of that last year if you recall, once there has been a run on the banks they are all closed simply because they don`t have your money. For the most part your money was invested with & in other banks & financial institutions, same thing caused the depression, local banks don`t have your money on hand.

What is the FDIC for then?

The FDIC would run dry real quick & the feds would have to print more faster than they are now. Its still limited & a lot of people would also have gone belly up simply because there would be no more credit & the printed money wouldn`t be worth squat.

samhill wrote:The FDIC would run dry real quick & the feds would have to print more faster than they are now. Its still limited & a lot of people would also have gone belly up simply because there would be no more credit & the printed money wouldn`t be worth squat.

Well, it looks like we should fire up those presses and keep pumpin out those bucks! Sooner or later we should be able to fill that hole. Right?

I really don`t think we`re at the bottom yet, the bills are still coming in.

banks now know that they can do anything they want, bring the nation to the bring of economic despair, be bailed out - all because the are "too big to fail". comforting thought huh?

and, agruably, one of the most disfuctioning governing bodies in the world (congress) is largely responsible (sic) to oversee banks. another comforting thought.

discouraging

topper wrote:banks now know that they can do anything they want, bring the nation to the bring of economic despair, be bailed out - all because the are "too big to fail". comforting thought huh?

and, agruably, one of the most disfuctioning governing bodies in the world (congress) is largely responsible (sic) to oversee banks. another comforting thought.

discouraging

Thank you!

mr1precision wrote:

topper wrote:banks now know that they can do anything they want, bring the nation to the bring of economic despair, be bailed out - all because the are "too big to fail". comforting thought huh?

and, agruably, one of the most disfuctioning governing bodies in the world (congress) is largely responsible (sic) to oversee banks. another comforting thought.

discouraging

Thank you!

What do you think the rest of the world will do once they catch on to what is really going on. I bet we will be lucky to borrow money from another country for 30% A wheel barrow full of hundreds for a loaf of bread.

The other countries all know what happened, their bankers & investors were part of it. All were thinking they could make their bucks & get out before the crap hit the fan. This is now a global economy theres no getting around it, most countries don`t allow their banks to get as powerful so some weren`t hit as hard banking wise but the investors that were buying & selling the risky paper got hit.

The reason were "allowed" to get away with the borrow and monetary policy is because they have there money in our system. They don't want to lose there investments either. They need professional liscenses like doctors, lawyer, accountants and engineers. If they do dumb stuff it gets revoked and they can't practice business past a certain level, and civil and criminal penalties exist, like for the other professions. It gives you a hook to punish the individual for there actions. You require ceo's of corporations of certain sizes to be liscensed etc.

The Fed is going to keep interest rates low for an extended period of time to spur economic growth. Short term that eases the pain now but it is setting us up for a bigger fall down the road. It is a very short sited policy. If we were on the gold standard they couldn't play these games with OUR money. Thanks for nothing Nixon. Prepare yourself for another asset bubble followed by another crash and inflation. The time frame isn't totally predictable but I believe it will happen. But who am I? Just a dumb truck driver.

Everybody complains about the bail-outs but I can`t help to wonder what would have happened if they would have started going down & there was a run on banks all over again. At least they are required to pay back with interest unlike the first tarp & way back to the S&L bail-out which more or less let them all know they could get away with anything.

This video is about the Federal Reserve Bank, the world banking system, and how it ties into politics in our country. It is scary stuff. This video is almost 2 hours in length so if you choose to watch it have the time.