News, FDIC fund slips amid bank failures.

[trishguard]

Originally Posted by 58robbo

there is a downside to that too. if the fdic fails, most peoples bank deposits are threatened and this will trigger a run on the banks which will dwarf the depression. i doubt a single bank will be left standing. the resulting drop in asset prices will leave our country's assets vulnerable to overseas take over.
if i understand anything about bernanke it is that he wants to devalue the dollar. this will achieve many positives. for one it minimises foreign debt in real terms. it might help to address the current trade deficit. a re-inflated bubble deals with the problem of the entire banking system being underwater. any rise in commodity prices will have a positive environmental impact because it is the ONLY fertile ground for alternatives, govt mandates don't work!

just thinking out aloud btw. these are not what i think should be done but rather what i think is being done. just trying to understand why

I believe we've been experiencing inflation for many years now. You can't inflate forever.

[freedom]

Originally Posted by trishguard

Not all banks are insolvent.

Actually they are, they are built on Notes, not dollars. Debt not assets.