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A comment on Joint Statement by the Department of the Treasury, Federal Reserve, and FDIC. Parent comment

Re:Joint Statement by the Department of the Treasury, Federa... by tolmasky on Sunday March 12, 2023 @11:23PM (#35130580)
It’s also never adjusted for inflation, despite this mess in theory being triggered by raising of interest rates due to super high inflation. 250K when it was set in 2010 is the equivalent of almost $350K now. If we ignore that, then we’re just admitting the number is totally arbitrary and we shouldn’t even bother arguing whether it’s a lot or a little.

Separately, it’s weird that a joint account is insured to 500K but a business account stays at 250K. It actually does weirdly favor wealthy individuals vs. working capital accounts for businesses that might represent many employees.

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Re:Joint Statement by the Department of the Treasury, Federa... by baq on Monday March 13, 2023 @03:17AM (#35132233)
It was set to 250k from 100k… That’s quite far from ‘never adjusted’ and quite a bit more than ‘for inflation’.
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Re:Joint Statement by the Department of the Treasury, Federa... by tolmasky on Monday March 13, 2023 @08:10AM (#35134577)
The sentence clearly means that it was never adjusted from inflation from when it was adjusted to 250K, 12 years ago. You can tell that this is far from being adjusted for inflation since it is now 100K off from what it was in 2010, or 40%. This should be a "neutral" issue with respect to the SVB thing, pegging it to inflation helps everyone in the system.
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