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> while depositors kept their deposits. The system works. I think depositors should still refund the 4.50% APY SVB on business savings was paying. > No govern
by hartator 4y ago
> while depositors kept their deposits. The system works.
I think depositors should still refund the 4.50% APY SVB on business savings was paying.
> No government money was spent making depositors whole.
That’s not true. There was a new 50bn debt hole in money created from thin air. Tax payers are footing the bill temporary at minimum.
- joshuamorton 4y agoThey aren't though, that's the point of the deposit insurance. The government has a non-taxpayer funded bucket of money for exactly this purpose, and no money was created from thin air.
- hartator 4y agoThese are tax payer liabilities at the end of the day. You can view it here: https://twitter.com/jacksage_nft/status/1638494009361420290?s=46&t=nzbXp5JnTst9_ZWUhxLf6w https://twitter.com/jacksage_nft/status/1638494009361420290?...
- joshuamorton 4y agoThat's wholly unrelated to the bailout. The FDIC would have been able to bail out both banks whether or not the fed changed rates.