Banks are currently calling on notes from businesses who have not missed a payment and are under no threat to default. Banks are scared. Many have completely stopped loaning and they are creating a huge credit crunch. Our debt based currency and economy requires banks to loan money. When banks stop loaning money, the economy collapses.
“If you don’t trust Silver & Gold, do you trust the logic of taking a pine tree, worth $4,000 - $5,000, cutting it up ..... turning it into pulp, putting some ink on it and then calling it one billion dollars?” - Kenneth J. Gerbino
Yes. We were at the edge of the abyss before the FED and Treasury stepped in. Banks had stopped short term loans to each other, several money market mutual funds were experiencing runs, the list goes on.
Had the government not intervened, a deflationary collapse was only a couple days away.
I suspect a calamity is only postponed. Congress will do what is politically expedient rather than fix the long term problem.