i hope there is no detroit bail-out. i also think there also should not have been a bail-out of the banks either. it's time that buissineses learn that if they mis-manage, then they fail. and it's not up to the tax payer to bail them out.
i hope there is no detroit bail-out. i also think there also should not have been a bail-out of the banks either. it's time that buissineses learn that if they mis-manage, then they fail. and it's not up to the tax payer to bail them out.
We'd lose all the money in our bank accounts. (Because if a bank went bust, regular deposit holders would be unsecured creditors, and they'd be very unlikely to get anything at all back).
Losing their careers and assets and being told to get a new legitimate career would be more punishment than federal prison.
Really? no job > fuck me in the ass prison imo..
I think banks being able to LEVERAGE is the root of the problem. It is complete bullshit that an institution can lend money it doesn't have, charge interest, fees and penalties on that money, then seize assets when a default occurs. Should the default occur, the bank doesn't actually loose any money because they didn't have the money to begin with. All they have done is cause inflation. Am I wrong?
Really? no job > fuck me in the ass prison imo..
I think banks being able to LEVERAGE is the root of the problem. It is complete bullshit that an institution can lend money it doesn't have, charge interest, fees and penalties on that money, then seize assets when a default occurs. Should the default occur, the bank doesn't actually loose any money because they didn't have the money to begin with. All they have done is cause inflation. Am I wrong?
You aren't being realistic. I'm offering up something here that's actually enforcible and is some kind of punishment for the people at the root of the problem. Changing our entire monetary system over from fractional reserve is a dream.
No opportunity for student loans? Great, then everyone can get a good education.^ I think the main problem with a non-fiat currency system would be that obviously there's a fixed amount of currency in circulation. The problem arises because technology naturally increases efficiency of production. This causes prices on goods and services to decline which makes each unit of money more powerful. This means that money saved would gain in value (reverse inflation) overtime without even having an interest rate. This means that money could not be lent except at very high rates of interest which means that there would be virtually no credit market. Without credit there is not risk taking in research/development/opening of new businesses.. there's no opportunity for student loans etc. etc. It does eliminate the middle man and it does make saving FAR more powerful.. but it has its drawbacks as well (like the creation of a plutocracy). So I'm not completely sold on the idea.