Quote from u21c3f6:
I don't agree with this. In what way was the economy worse? In those other times there were definitely pockets of problems but not country-wide (no pun intended). All one needs to do is to notice all the stores closing, the number of homes for sale and/or in foreclosure, the lack of customers in stores and the lack of goods being sold to recognize that this is a lot worse than either of those previous times mentioned IMO.
Retail sales were in sharper decline etc. As hard as it is to believe home prices are HIGHER TODAY than in 2001!!!
Yes, I assume everyone else wants the best yield they can get. I deposit my money into an FDIC insured CD because it is offered. I don't deposit my money with those ads claiming 18% return because it is not insured. How or why an FDIC insured CD is offered at whatever rate really isn't my concern, it shouold be the FDIC's concern because they are insuring it. Again, oversight that apparentely was not present or a total misunderstanding of the situation is what created this problem, not my depositing my funds for the best yield I could find in an FDIC insured CD.
You obviously don't understand that our passing the buck to the FDIC ENCOURAGES reckless banking practices. The health of the FDIC is of PARAMOUNT concern because when THEY go bust-months from now-it's Congress, i.e. YOU who will be bailing out insured depositors.
How FDIC became to be perceived as american as apple pie and baseball is a mystery to me...