I guess that means cash is king right now. The Fed has been attempting to flood the market with cash but it is not working.
The whole banking system might have to be radically reformed.
I bet they will try to move it closer to a counter cyclical business model, not the current pro cyclical one.
It's not exactly helpful that banks try to sell you umbrellas when it's sunny, and hoard them when it's raining.
I personally would like to see the entry barriers to the banking business lowered.
A few years back Wallmart tried to get into retail banking and the banks lobbied hard to stop them.
The banks won, but I think what we need now is new banks eager to lend.
I guess that means cash is king right now. The Fed has been attempting to flood the market with cash but it is not working.
The whole banking system might have to be radically reformed.
I bet they will try to move it closer to a counter cyclical business model, not the current pro cyclical one.
It's not exactly helpful that banks try to sell you umbrellas when it's sunny, and hoard them when it's raining.
I personally would like to see the entry barriers to the banking business lowered.
A few years back Wallmart tried to get into retail banking and the banks lobbied hard to stop them.
The banks won, but I think what we need now is new banks eager to lend.