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First, I wholeheartedly agree with you, you can't force people to borrow. You no doubt did not see my several posts in which I have commented on how generally ineffective a tool incremental lowering the funds rate is, and why. And raising rates is similarly ineffective unless you raise them a...

Absolutely! Everyone is a certified idiot who voted for a guy that bragged about grabbing women by their pussies, got into a who has the biggest penis contest with "little" Marco on national TV, stalked Hillary like an orange Baboon during their "debate", insisted Obama was born in Kenya, that...

Probably not in any significantly damaging way. The swelling of reserve accounts via QE is done to push rates down and to encourage banks to loan at low interest rates, since banks prefer not to hold excess reserves. This may not work very well, however, if there is insufficient demand for...

Now, that's hilarious!

We know how to handle a credit crunch. We will; we are. We also know how to rapidly ramp up testing. The technology, and resources already exist, but we are not doing it at anything like the speed and magnitude necessary. It is feasible, it is possible, and it is less expensive than a...

https://www.nytimes.com/2020/03/23/opinion/coronavirus-depression.html?smid=em-share

I haven't got time for this bullshit. Anyone who is other than a drone can see the guy has serious mental issues, or is otherwise a clown. I mean who goes around bragging about grabbing women by "their puissies," or claiming "Mexico Will Pay for the Wall". Presidential material!, yah right...

Actually the American people don't have to expend much effort in searching for truth with regard to Trumps competence to lead the U.S. through this crisis. His serious mental disorders are on display almost continuously. All we have to do is open our eyes and ears to his continuous lying...

I just read the article you gave a link to. I was completely right. You were completely wrong. There was no run on Northern Rock, or whatever that bank was called. The only mention of people losing money were investors in what was apparently Northern Rock stock! There is no mention of...

Does the UK have a reserve requirement?. As I mentioned earlier some countries use a different mechanism to control what is the equivalent of the U.S. Funds rate. In the U.S. banks can of course loan out excess reserves, and indeed they want to. One of Bernanke's frustrations during the...

If they lost money they were either investors in bank instruments that were not insured against bank failure, or possibly they were depositors who had deposited money above the insured limit. Or something else? As I have emphasized, and as you said, regular depositors did not lose any of their...

Here you are talking about non-performing loans. Yes, too many non-performing loans can cause a bank failure. But the central bank will step in in that situation, at least in the U.S. and I am sure the situation is similar in the UK, and the failing bank will undergo resolution. The depositors...

Yes, that is your point. And it is dead wrong. Banks can lend out excess reserves that result from QE. I am beginning to think that you believe that QE involves giving money to banks!!! You do not seem to understand much at all about QE. First, the funds that tend to swell banks reserve...

actually if you gave me a choice between a good mask and being tested and $1500 or whatever, I would take the mask and the test right now.

None of this is correct with regard to U.S. Commercial Banks and I doubt it is with regard to UK banks as well. Assuming a U.S. Bank is solvent,i.e., their liabilities do not exceed their assets, they will have no problem meeting their reserve requirement when they want to make a new loan...

No, No, No. Depositors in the U.S. are protected up to the limit of FIDC insurance. In fact during the financial crisis the limit of protection was raised well above 250K -- was it a million?. Depositors have NO RISK. Depositors and Investors are not the same thing. And no, people do not...

These are very different projections, U.S. population continues to grow at a declining rate. Japan population expected to decline at a declining rate. Both countries will be fine. Both have projected population profiles compatible with increasing automation. Japan probably slightly more...

Let me just make a few comments comments. To begin, the statements, such as the one immediately below, you made are reflective of pre-1930s banking and are is astoundingly wrong today: Due to the bank only holding a small percentage of the invested funds at one time, to maximise lending and...

it's depressing to contemplate that as a possibility.