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> If you told the banks that you will protect their business regardless of what corrupt, stupid or greedy behavior's they practice... what do you think they'll
by mrep 3y ago
> If you told the banks that you will protect their business regardless of what corrupt, stupid or greedy behavior's they practice... what do you think they'll do?
That's not what the FED is doing though. They are protecting the depositors not the business. The equity holders are getting completely wiped out and most of the employees at First Republic Bank are probably going to lose their jobs so the business is definitely getting screwed.
- CrimsonCape 3y agoBut people don't really understand the nuance between "let First Republic fail and let the FDIC step in to protect the depositors" versus "let's sell First Republic to Wells Fargo under orders of USGov to protect the depositors." Why not the former? I agree that in both of the above cases, First Republic shareholders and staffing suffer. But the latter introduces the conspiratorial angle and the unjust-ness.