Quote:
Originally Posted by bizaro86
Disintermediating the banks isn't all sunshine and roses though. The banks use the money everyone keeps in their chequing accounts to make loans. I know personally I'm not in favour of most loans being made by the government instead. That's a path for politically favored groups to get all the loans, which is both unfair and bad for the economy. Maybe its fine if you own Volkswagen shares or are an Ontario auto worker, but here in AB I think that would end up hurting us.
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So wait, the bank may actually have to offer incentives, like, say, paying interest of more than 0.5%, to attract money? Uhm, boo hoo? Yes, they may have to give up some of their tens of billions of yearly profits to be able to continue to function. I shall now shed some tears. "Protecting the insane profits big banks" is probably pretty low on the list of reasons not to do this.