Great Depression of 2016

[rufus]

This promises to be a gold mine for lawyers. http://www.washingtontimes.com/news...ir-pay-act-threatens-to-accelerate-st/?page=2

Just another reason to move production off shore.

 

[hemet dennis]

Now you know the end is near.

http://www.cnbc.com/2015/10/09/twitter-is-planning-company-wide-layoffs-for-next-week-recode.html

 

[rufus]

http://www.cnbc.com/2015/10/12/dick-bove-us-banks-have-been-nationalized.html

What is your opinion of this? Facizm is when the big businesses of a nation controls the politics of the nation. But now, it appears that the glove has been inverted and is on the other hand. Government is controlling the big businesses of the nation.

Should the government be able to dictate what interest banks pay, or should the market? It boggles the mind.

 

[MrsBrooke]

None of the above.

We should go back to a true barter system.

MrsB

 

[hemet dennis]

http://www.cnbc.com/2015/10/12/dick-bove-us-banks-have-been-nationalized.html

What is your opinion of this? Facizm is when the big businesses of a nation controls the politics of the nation. But now, it appears that the glove has been inverted and is on the other hand. Government is controlling the big businesses of the nation.

Should the government be able to dictate what interest banks pay, or should the market? It boggles the mind.

The banks decide what interest rates they pay. What makes you think they don't ?

 

[Oliver Douglas]

Setting interest rates. In addition to controlling the money supply through the issuance of legal tender, the Federal Reserve directly affects monetary policy by a second and perhaps even more significant means: the setting of interest rates. This is accomplished by determining the discount rate, or the rate it charges member institutions for loans. These institutions, in turn, charge other depository institutions a certain rate for overnight loans of funds that are immediately available at the Federal Reserve Bank. The rate at which Fed member banks charge money to depository institutions, known as the federal funds rate, will always be slightly higher than the discount rate, but varies from institution to institution, and from day to day. In order to turn a profit, banks that borrow money at the federal funds rate, in turn, charge borrowers—both.

This is why your savings account interest rate is pretty much zilch.....heading toward negative interest rates....

In 1964, when we were still coining dimes, quarters and half dollars in 90% silver, you could buy a loaf of bread for one silver quarter....still can, today, if you turn in your pre-1965 silver coins for fiat currency. Silver quarters are valued at a minimum of $2.86 as of 10/12/2015 based on the metal content vs. silver spot prices. With interest rates for savings practically worthless, too many people have decided to ride the stock market roller coaster....and when the ride is over, and it will be with a $17 TRILLION dollar deficit, a lot of people are going to lose their lunches, among other things.

 

[rufus]

Dennis, we are looking at the interest rate member banks receive on their deposits with the Fed. That translates into lower interest rates for depositors. Do you really think the banks would eat that expense?

If rates are next to nothing for depositors, then they will really be negative if this happens.

 

[hemet dennis]

Dennis, we are looking at the interest rate member banks receive on their deposits with the Fed. That translates into lower interest rates for depositors. Do you really think the banks would eat that expense?

If rates are next to nothing for depositors, then they will really be negative if this happens.

You asked,
"Should the government be able to dictate what interest banks pay, or should the market?"

So like I answered, the banks decide what they pay. What makes you think they don't ?

 

[rufus]

Quote:
Some in the banking industry have called for a cashless society. That will really make it tough for drug dealers. I don't like the idea. I don't have any cash, but I sure have hopes of getting some. The IMF is supposed to meet on the 20th. Let's see how that goes.

 

[rufus]

Dennis, the banks have to stay solvent. If the government is taking part of the interest they earn on their deposits with the Fed, the banks will have to make that up by increasing interest on loans they make and decreasing interest paid on deposits.