“Did you read what I just posted?”
“Yes.”
Then why did you reask the same question I just answered? How many times do I have to answer that I don’t think a law demanding banks keep 100% reserves is necessary?
“The bastards!”
Your sarcasm is wasted on me. I never implied that they’re wrong for doing it. Everyone knows what’s up. Everyone knows they can’t cover themselves in the event of a run. I really fail to see what’s controversial about my comments.
“It’s a silly idea.”
What is, that banks are unsound? Do you deny that they can’t cover their demand deposits? Do you deny that bank runs deny a fraction of the depositors their money? Really, this is not controversial stuff.
The comment was so stupid, I wanted to confirm that was what you meant.
Everyone knows they can’t cover themselves in the event of a run.
With FDIC insurance, why should they have to cover 100% of their demand deposits?
It’s a silly idea.
What is, that banks are unsound?
Holding 100% of demand deposits as cash on hand.
Do you deny that they can’t cover their demand deposits?
Over what time frame? 24 hours, no they can't. So what?
Do you deny that bank runs deny a fraction of the depositors their money?
How large a fraction? What % of their money?
Really, this is not controversial stuff.
Really, it's a silly idea.
But you should run with it. I'm sure everyone will run to deposit their money with you, safely, to earn 0% interest.