Posts Tagged ‘banking’
Facing the truth on the debt limit
David Friedman has a very good post on The Debt Limit and Default that makes two essential points for cutting through the hyperbole in the news about the risks of not raising the country’s debt limit. (1) Our government takes in enough revenues to make all interest payments on existing debt and (2) even defaulting…
Read MoreWhy I Cancelled My PNC Bank Credit Card
My wallet is one credit card lighter this morning. I cancelled my PNC Bank Visa that I’ve had since it was still National City bank. Their business practice of charging exorbitant fees with zero grace period is not something I want to support with my purchase dollars. The facts are these: Back in January, my…
Read MoreStress Testing the Banks
If you have to prove you are worthy of credit, your credit is already gone. –Walter Bagehot Timothy Geithner, the Treasury Secretary, has come out with a plan (really more of a vague idea) to “stress-test” American banks to determine whether they can survive this current recession. To be conducted in April, this testing will…
Read MoreWhy People Have to Make Their Own Mistakes
Found in an Economist article on how a central bank can (or cannot) stop a bank run: “the ultimate result of shielding man from the effects of folly is to people the world with fools.” – Herbert Spencer, State Tampering with Money and Banks
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