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ntfh_uk t1_jeb66pq wrote

The banking system is essentially fine as long as you trust it and are happy to leave most of your money in it. As soon as you don't you discover that they are all over leveraged and you can't all get all of your money out. It is a system that gave up the gold standard back in 1970 (or 71) where money was backed by gold and now relies on a system of faith to ensure it works. So for the love of mankind, please don't be worried!

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boomchakaboom t1_jebjr80 wrote

Yup. This is a reckoning fifty years in the making. Every policymaker, with the exception of Volcker in raising rates in '82 and Clinton and Gingrich managing budget surpluses , has pursued policies that just kick the can down the road.

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