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Now think how an average Greek person feels when their banking system no longer works, denied access to electronic transactions and when bank accounts hold mere
by iwwr 11y ago
Now think how an average Greek person feels when their banking system no longer works, denied access to electronic transactions and when bank accounts hold mere numbers that may or may not be actually recognized (or downright confiscated).
- cameldrv 11y agoIt's hard to imagine how the Greek banking system is going to recover from this. Everyone loaned them all of their money, and they weren't even getting any interest on it. Now they have to stand in line for 60 euros per day when it could have been in their mattress the whole time.
- iwwr 11y agoThe bigger problem is that money people have in banks, which is not borrowed and only belongs to private citizens is being plundered or destroyed. Second to that is an inability to access modern forms of transactions, which make running IT companies (and not only) an impossibility.
- cpr 11y agoWhat's more, with the miracle of credit creation by modern banking, only 5% of their money is actually in the bank--the rest is out making more money for the bank. It's all a consensual hallucination which works only as long as everyone still has confidence in the system.
- javajosh 11y ago>It's all a consensual hallucination which works only as long as everyone still has confidence in the system. Yes, but delusion is not as irrational as it sounds. http://www.interfluidity.com/v2/2669.html http://www.interfluidity.com/v2/2669.html
- iwwr 11y agoIt's only an illusion when the central bank is unwilling to inject money into the system in the event of a bank run. The central bank has to maintain somewhat of an equivalence between money stored in banks and cash. It depends on if banks become merely "money vaults" or investment/speculative vehicles.
- grey-area 11y agoGold, Bitcoin and paper cash are also subject to confiscation, tax or other legal controls, speculation and devaluation. There is no safe haven from a government which wants to confiscate your belongings or redistribute wealth.