«

»

Sep 24

US Govt trying to avoid a Bank Run?

The U.S. Govt says they are trying to avoid a bank run.  Don’t they think we know, we are already having one?

Today’s depositors who can withdraw all their money and thus cause a classic bank run are not John Q Public.  We are insured by FDIC.  We take money out of the bottom of a system, like from the tap of a koolaid cooler at a church picnic.

The insurance companies, financial institutions, pension funds, investment banks, and world banks who make deposits into our financial system by making LOANS to our system are the ones who pour koolaide into the top of the jug. These guys have already withdrawn their money.  They pulled the plug.  The run is on because the money was pulled out of the top of the system instead of the bottom.  They are not providing any more money.  This means the wheels of commerce grind to a halt.  NOW.

The most interesting part is that in the Great Depression, when we were a nation of SAVERS, cash ran out as the public lost confidence in the banking system and withdrew actual deposits.  The difference is that today’s bank run happens as a nation of BORROWERS finds there is no money to borrow.  Money has stopped flowing in at the top of the system.

Same basic outcome….  There is no cash.  The run is already underway.

This is why our Govt wants to railroad a bill through Congress…. The washington power base seems to feel that if we print money fast enough, maybe John Q Public won’t find out that there is no cash!

A curse on Greed.  A Blessing on Wisdom.

May those who hear the voice of God listen, and calm the waters of this storm.

Please follow and like us:

Leave a Reply

Enjoy this blog? Please spread the word :)

RSS
Follow by Email
Facebook
Google+
http://e4god.com/us-govt-trying-to-avoid-a-bank-run/
Twitter
Pinterest
LinkedIn
INSTAGRAM
%d bloggers like this: