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> until we free up the concentration of capital that favors dense urban areas What is this supposed to mean? Is "favor[ing] dense urban areas" somehow wrong?
by coolgeek 9y ago
> until we free up the concentration of capital that favors dense urban areas
What is this supposed to mean? Is "favor[ing] dense urban areas" somehow wrong? What dark force is driving this concentration of capital? What is necessary to free it?
- Spooky23 9y agoConsolidation in finance and other sectors has made it difficult or impossible for small and medium business to survive. As regional banking dries up, its dramatically more difficult for firms to get loans, even for working capital. There's no reason for large banks to lend money. They can print money via the Fed to get their assets and lend money to the highest quality borrowers or those with explicit government guarantees. The traditional regional banking model was much better for everyone.
- justforFranz 9y ago"They can print money via the Fed to get their assets..." I don't think that's how it works.
- coolgeek 9y agoAre you (and kesselvon) suggesting that otherwise viable businesses are getting wiped out because they are in small towns? And the reason for that is that regional banking is "drying up"? That seems improbable to me, especially at a time when so much capital is looking for a decent return Also, as I asked, what does this have to do with "dense urban areas" being "favored"?
- HillaryBriss 9y ago> Consolidation in finance and other sectors has made it difficult or impossible for small and medium business to survive reminds me of the VC / startup landscape