I would argue that the negativity toward such things as the wildcat banking era is a result of cognitive biases like this that manifest when dealing with complex social systems.
More on the wildcat banking era:
https://www.alt-m.org/2015/07/23/real-pseudo-free-banking/
>>Indeed, the all-around record of U.S.-style free banking improved significantly as the Civil War approached. Even banknote discounts — another consequence of unit banking that has been wrongly treated as a necessary consequence of having multiple banks of issue — had become almost trivial by the early 1860s. According to my own research, someone who, in October 1863, was foolish enough to purchase every non-Confederate banknote in the country for its full face value, in order to sell the notes to a broker in either Chicago or New York, would have suffered a loss on that transaction of less than one percent of his or her investment.[9] That's less than the cost merchants incur today when they accept credit cards, or what people typically pay to withdraw cash from an ATM that doesn't belong to their own bank.