> "Banking industry" is an insult to those who actually > produce goods. What do you think should be a use of industry? Is it OK to say "transport industry" de

> "Banking industry" is an insult to those who actually > produce goods. What do you think should be a use of industry? Is it OK to say "transport industry" despite the fact that what they do is a service? Banks produce value through strategic use of risk calculation. They take in $100 and then lend out $90 for further wealth creation, and keep $10 on hand as liquidity so that if any of the owners of the $100 want any back they can get it. Thus, you have $190 of value passing around from a base of $100. You've just got to be careful not to loan too much out or you run out of liquidity and then the system stalls. > which is frequently, unfortunately Frequently by what measure?