Posted On: Thursday - March 16th 2023 6:01PM MST
In Topics:   Music  Humor  Global Financial Stupidity
Imagine if the world's bankers had to exist in the free market. The invisible hand would slap the BeJesus out of most of them for such acts as the loaning out of 4 years worth of tuition money to Womyn's Studies majors and the hiring of CROs - Chief Risqué Officers who spend much more time on DIE stupidity than risk management.
It's important that the FDIC* and its Credit Union sister (also Feral Gov't) NCUA at least act like they can insure us all, like more than one of us at a time, for this Ponzi Scheme of an economy to stay afloat for a bit longer. In this latest case, the Feral Gov't seems to be backstopping the SVB and Signature Bank depositors, digging the debt hole that much deeper.
We'd probably be better off if we had a real economic system, with banks, and hell, bankers too, subject to seizures. With our usual Peak Stupidity warning to readers, especially including bankers now, let's all Wang Chung tonight, if only for 4 minutes:
* It has in the neighborhood of 0.1 % of the assets in those < $250,000 accounts it insures. I happened to run into a guy who was a big shot in banking during the Carter Administration and got to pick his brain for a few minutes, including asking him about this.