Should the Fed help banks stay in business, or has this crisis rooted out some bad seeds?

[OddBeMe]

The Fed has been raising interest rates quite a bit over the last year to combat inflation. And this may have helped create the bank crises in Silicon Valley, etc. like 2007 crash, these banks were handing out loans to folks who couldn’t afford it.

Of course when the government stays out of it, other banks like Chase will buy up the shattered remnants and now be even larger. What if Chase is next?

We should help the banks

Let the bad weeds die

[hbg84]

Its time to get rid of the federal reserve. Go back to the gold standard of course that would mean the government admit the is no gold in fort nox. When we were on the gold standard inflation stayed in check. Since going to the petro dollar and the federal reserve printing money like crazy the dollar isn't worth shit anymore

[OddBeMe]

Go back to the gold standard and we cut our economy in half. Biggest catasophre since Great Depression.

[exitseven]

There is a fund that the banks pay into. They guarantee up to 250K per account. anything more than that the bank customer has to eat.

[exitseven]

Thanks for the MHO😎

[Anonymous]

The banks learned in 2007 that they can gamble and act irresponsibly because the government will give them taxpayer money to bail them out and they get bonuses

[Daniela1982]

Everyone gets bailed out except Social Security. Will we even have it when we retire at 75?

[exitseven]

it will be more like 85.

[Stoner710]

To quote Kevin O’Leary “let them fail”

Also it’s probably time to brand up J. P. Morgan

[OddBeMe]

Break up? Agreed. Prob BofA too. All those big banks bought up each other in 2008.

[Stoner710]

Pretty much, nothing is to big to fail and if that truly is the case we have more problems then just JP morgen buying up silicon valley bank. The issue right now is we’re having a regional bank crisis and the Big Banks like J. P morgen are just buying them up. Spending from both side also put us into a position where the federal reserve is has a catch 22. Either they raise the interest rates to stop a recession with will cause mass unemployment similar to what happened after Carter under Regan. Or don’t raise interest rates which keeps unemployment low but causes a recession which will end up forcing companies to fire unneeded employees and frankly is a lot of jobs won’t come back. Robots software and AI will be taking over most jobs in the United States in the next couple decades

[Juxtapose]

, p...
These banksters are frauds and don't deserve to take taxpayer money.

[OddBeMe]

You have some logic left lol

[Juxtapose]

I have my own beliefs.

[msc545]

More banks will take risks if they think they will be bailed out.

[OddBeMe]

And they are. I’m glad we’ve refrained so far. And the fed is still raising interest rates.

[msc545]

Who is the "we" you are referring to?

[PeanutbutterAnd]

Biden bailed out billionaires.

[OddBeMe]

How so?