These people will further the economic crisis. The crash is coming. No one is denying it. You want more. Your gonna get it too. What you ignore is what will happen when the banks close. Lol, your money's goin too you fool.
What you ignore is what will happen when the banks close.
Why are the banks gonna close?
So, you dont believe its going to happen? Here is Wikipedia. Your not worth the typing.
A
bank failure occurs when a
bank is unable to meet its obligations to its
depositors or other
creditors because it has become insolvent or too illiquid to meet its liabilities.
[1] More specifically, a bank usually fails economically when the
market value of its
assets declines to a value that is less than the market value of its
liabilities. The
insolvent bank either borrows from other
solvent banks or sells its assets at a lower price than its market value to generate liquid money to pay its depositors on demand. The inability of the solvent banks to lend liquid money to the insolvent bank creates a
bank panic among the depositors as more depositors try to take out cash deposits from the bank. As such, the bank is unable to fulfill the demands of all of its depositors on time. Also, a bank may be taken over by the regulating government agency if Shareholders Equity (i.e. capital ratios) are below the regulatory minimum.
The failure of a bank is generally considered to be of more importance than the failure of other types of business firms because of the
interconnectedness and fragility of banking institutions. Research has shown that the market value of customers of the failed banks is adversely affected at the date of the failure announcements.
[2] It is often feared that the
spill over effects of a failure of one bank can quickly spread throughout the economy and possibly result in the failure of other banks, whether or not those banks were
solvent at the time as the
marginal depositors try to take out cash deposits from these banks to avoid from suffering losses. Thereby, the spill over effect of bank panic or
systemic risk has a
multiplier effect on all banks and
financial institutions leading to a greater effect of bank failure in the economy. As a result, banking institutions are typically subjected to rigorous
regulation, and bank failures are of major
public policy concern in countries across the world.
[3]