4 ms·
If natural incentives obviated the need for the FDIC, we would not have the FDIC, because both banks and incentives pre-date the FDIC by hundreds of years. It w
by snowwrestler 5y ago
If natural incentives obviated the need for the FDIC, we would not have the FDIC, because both banks and incentives pre-date the FDIC by hundreds of years. It was created for a reason.
- dnautics 5y agonote that the FDIC was created AFTER the Fed, so you don't know that the reason isn't that "the fed fucked things up and created an economic environment that necessitated the FDIC".
- eru 5y agoThat's a rather rosy view of how laws and regulations in general come about. First, the stated reasons might not be the real reasons. Second, the stated reasons might be the reasons as intended, but the people making the laws might still misunderstand what's actually happening. See eg https://www.alt-m.org/2021/05/20/how-u-s-government-paper-currency-began-and-how-private-banknotes-ended/ https://www.alt-m.org/2021/05/20/how-u-s-government-paper-cu... for some wider background.