It could only happen in Cyprus?
Think again. The latest thinking coming out of the Federal Reserve is that the entire world is going to be subject to ‘bail-ins’ to save all of the banks which own the Fed:
Here’s a quote:
“Perhaps more to the point for TBTF, if a SIFI does fail I have little doubt that private investors will in fact bear the losses.”
You have been warned.
And note the inability to call TBTFs (Too-Big-To-Fails) and SIFIs (Systemically-Important-Financial-Institutions) what they are, which is ZBs (Zombie-Banks), and the use of these obfuscatory acronyms perhaps designed by neurolinguistic programming gurus to make their unfailability ‘inevitable’ in our minds.
Perhaps, Jeremy, we might let the free market work? It’s an idea which gave us western civilisation. It’s a shame we started letting go of this idea in 1913, when the Federal Reserve was created by the big banks of New York to eventually get us into this mess.
