Coordinated central bank action to enhance the provision of US dollar liquidity

Re:Coordinated central bank action to enhance the provision ... by lowkey on Sunday March 19, 2023 @08:41PM (#35225606)

I agree, but a crisis is the ideal time to examine the root causes that led to the crisis and to re-examine the assumptions upon which the environment that led to the crisis were based on.

Fractional reserve central banking is a giant Ponzi scheme that leads to bank failures again and again. Any business that will fail if 20% of its customers use the product as intended (withdrawing funds from a demand account) is fundamentally unsound.

If we fail to learn from our mistakes we are destined to repeat them.

[ Parent | on HN ]

Re:Coordinated central bank action to enhance the provision ... by deltree7 on Sunday March 19, 2023 @08:49PM (#35225684)

You don't talk about dietary habits when a person is having a heart attack

[ Parent | on HN ]

Re:Coordinated central bank action to enhance the provision ... by lowkey on Sunday March 19, 2023 @08:59PM (#35225803)

I do like your analogy. Here is another:

If smoking led to the patient’s heart attack and the patient is still smoking on the hospital bed, I think it is justified for the doctor to tell the patient to stop smoking.

[ Parent | on HN ]

Re:Coordinated central bank action to enhance the provision ... by unsupp0rted on Sunday March 19, 2023 @10:31PM (#35226563)

If a heart attack patient were still smoking in their hospital bed, how much impact would this have on their treatment and recovery in the immediate aftermath?

[ Parent | on HN ]

Re:Coordinated central bank action to enhance the provision ... by lowkey on Sunday March 19, 2023 @10:43PM (#35226645)

If I were the doctor and the patient had survived the heart attack I would absolutely do my best to get him to stop smoking in order to prevent the next heart attack.

In other words if you don’t fix the root cause of the heart attack (or fundamentally unsound fractional reserve banking system) you are effectively begging for another failure down the road.

[ Parent | on HN ]

Re:Coordinated central bank action to enhance the provision ... by lazide on Monday March 20, 2023 @05:10PM (#35238789)

By the time they survived the heart attack, the crisis is over though?

[ Parent | on HN ]

Re:Coordinated central bank action to enhance the provision ... by lowkey on Tuesday March 21, 2023 @10:27AM (#35246648)

But the root cause of the crisis still exists. If you only address the symptoms without solving the root problem that caused the symptoms, then the crisis is likely to happen again.

[ Parent | on HN ]