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You don't need a direct financial kickback to define corruption. From: https://www.cnbc.com/2023/03/16/svb-signature-bank-failures-yellen-says-us-banking-syste
by csomar 4y ago
You don't need a direct financial kickback to define corruption.
From: https://www.cnbc.com/2023/03/16/svb-signature-bank-failures-yellen-says-us-banking-system-is-stable-and-deposits-remain-safe.html https://www.cnbc.com/2023/03/16/svb-signature-bank-failures-...
> Treasury Secretary Janet Yellen told senators that government refunds of uninsured deposits will not be extended to every bank that fails, only those that pose systemic risk to the financial system.
- christophilus 4y agoIf you’re too big to fail, you’re too big to exist. We should either let them fail (my preference, despite the pain) or bail them all out. But I also think that if we’re going to insist that there is a private entity that is too big to fail, it should be broken up until the pieces are not too big to fail.
- piva00 4y agoOr it shouldn't be a private entity.
- robertlagrant 4y agoBetter a private entity that needs bailing out with taxpayer money than one that is normally funded by taxpayers.
- hutzlibu 4y agoSocialise the risks, privatise profit.
- robertlagrant 4y agoTo be clear: I think we shouldn't socialise the risks either. Just saying it's better than fully running it on taxpayer money.
- di456 4y agoBanking is basically nationalized now. The government outsourced this responsibility to the Federal Reserve at the same time that a federal income tax began. There are 3 main ways to balance a government budget. Spend less, raise more funds through taxes, or make the scale of debt decrease through inflation.
- SturgeonsLaw 4y ago> Banking is basically nationalized now. More like government is privatized
- marcus0x62 4y ago¿Por que no los dos?
- nashashmi 4y agoActually svb did fail. And flunk. The shareholders are wiped out. The employees are gone. Saving the depositors is an act of charity. And if you save one bank, it restores confidence in the other banks against a bank run. Otherwise I was thinking of removing money in all banks combined.
- wrenky 4y agoYellen just repeated the exact federal reserve policy, like every treasury sec/federal reserve chairman has done since forever. Kinda wild to define that as corruption, but to each their own. Instead, why don't you look at how many people have lost uninsured deposits since the FDIC was created in 1933? You'll find its extremely low to nonexistent. Thats because while the FDIC has a 250k insurance limit, it does its absolute best to not use it- Usually by coordinating a bank sale or private-public rescue plan.