Site icon Attack the System

Bailing Out Uninsured Deposits Encourages Bank Runs

Keith Preston

THURSDAY, MARCH 23, 2023
I am for doing good to the poor, but I differ in opinion of the means. I think the best way of doing good to the poor, is not making them easy in poverty, but leading or driving them out of it.
– Benjamin Franklin, “On the Price of Corn and Management of the Poor” [1776]

HORNBERGER’S BLOG
March 23, 2023

Bailing Out Uninsured Deposits Encourages Bank Runs
In the failure of Silicon Valley Bank and Signature Bank, U.S. officials decided to cover all the uninsured deposits in both banks — that is, deposits that exceeded the $250,000 insurance coverage of the FDIC. The belief was that failing to cover those uninsured deposits ran the risk that bank runs could spread to more banks. Covering those uninsured deposits was intended to …
Go to the blog

EXPLORE FREEDOM
IRAQ
 Lessons from Iraq
by Jacob G. Hornberger and
Richard M. Ebeling
Future of Freedom Foundation
What Has Washington Learned from Iraq?
by Doug Bandow
American Conservative
Iraq War Anniversary: Never Back Down on the Only Important Fact
by Thomas L. Knapp
Garrison Center
VIETNAM
A Forgotten Hero Stopped the My Lai Massacre 50 Years Ago Today
by Jon Wiener
Los Angeles Times
MONETARY POLICY
The End of Market Discipline for Banks
by Editorial
Wall Street Journal
FREE SPEECH
Pro-Censorship Democrats Whitewash the Federal Government’s Iron Fist
by James Bovard
Libertarian Institute
How Government Casually Violates the Letter and Spirit of the First Amendment
by George F. Will
Washington Post
FOREIGN POLICY
US Moving Closer To Hot War With Russia
by Ron Paul and Daniel McAdams
Ron Paul Institute
THE FREE SOCIETY
Liberalism Needs No Enemies
by Barry Brownstein
AIER
CRIMINAL JUSTICE
The Honey Trap
by Trevor Aaronson
The Intercept

RECENT FFF ARTICLES
Oversight of Billions for Ukraine Is Not What Is Needed
by Laurence M. Vance
In an interview with ABC News last month, after it was noted that U.S. aid …
Banking Crises and the FED’s Monetary Antics
by Jacob G. Hornberger, Richard M. Ebeling, and James Bovard
This week’s episode focuses on the banking crisis. FFF president Jacob Hornberger and Citadel professor Richard M. …
Geofence Surveillance: First, They Spied on Protesters. Then Churches. You’re Next.
by John and Nisha Whitehead
“I know the capability that is there to make tyranny total in America, and we must see to it that this agency and all …
The Right to Be Let Alone: When the Government Wants to Know All Your Business
by John and Nisha Whitehead
“Experience teaches us to be most on our guard to protect liberty when the government’s purposes are beneficent.”—Supreme Court Justice Louis D. Brandeis There was …
The Libertarian Angle: My Fight with HUD
by Jacob Hornberger
In the 1970s, I got into a huge fight with HUD, one of the most crooked and corrupt federal agencies in history. This is the story of that fight.
Go to more articles
Exit mobile version