Re:SVB shows that there are few libertarians in a financial ...
by rafaelero on Monday March 13, 2023 @10:18PM
(#35146498)
The difference is that the thought of losing 10% is enough to make everyone else consider withdrawing the money they have with their banks. And that initiates a bank run that would spill over all the banking sector. The bailout is not to protect SVB; that's already gone. Fed is now trying to avoid having people stress testing other banks, because they probably won't handle it.
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