Comments on: Banking 11: A reserve bank

By: personova

personova — Sun, 06 Dec 2009 06:10:49 +0000

Sal, shoring up the interbank accounts can happen at the reserve bank, or over the counter MM. During “normal” times of risks in underlying assets, the central bank can float “mistakes” to reduce systemic risk.

However, as you stated before the central bank cushion is only one part of the overall banking confidence equation. I would argue that the primary “security blanket” for most depositors, which is now essentially broke itself, is the FDIC.

By: 8Kole8

8Kole8 — Sun, 06 Dec 2009 06:10:49 +0000

wish i could play on paint this well

By: high5flyer

high5flyer — Sun, 06 Dec 2009 06:10:49 +0000

The Central Bank sets the Reserve Requirement, but what about the leverage ratio? Do they set that?

By: BPMa14n

BPMa14n — Sun, 06 Dec 2009 06:10:49 +0000

tHanks for posting thgese videos. There is a lot of misinformation about the motives of centralizing currency and this is a simple view that opposes all the conspiracists

By: 16rl

16rl — Sun, 06 Dec 2009 06:10:49 +0000

how could too much gold reserves be bad ? i do not undestand your point “FranceParisian”

By: logic2reason

logic2reason — Sun, 06 Dec 2009 06:10:49 +0000

gold reserve? Since when… lol

By: blahdelablah

blahdelablah — Sun, 06 Dec 2009 06:10:49 +0000

So if the (non-central) banks no longer have gold but have checking accounts with the central bank, what interest is at play (do banks loan the money from the federal reserve at interest, or does the federal reserve pay interest to the banks for the gold deposits)? I’m guessing this will be answered later but I thought I’d post now in case anyone else was thinking about the same thing. Thanks for this vid series.

By: jackuy12345

jackuy12345 — Sun, 06 Dec 2009 06:10:49 +0000

thx dude u r better than all those boring teachers!!

By: dko02

dko02 — Sun, 06 Dec 2009 06:10:49 +0000

Sal, thanks for another wonderful video that explains how banking works. I have learned far more from your presentation than from any other source.

I do like that your presentation is very neutral and unbiased but essentially just logical.

Along with the other viewers, I’d like to hear your opinions about the current economic/financial crisis and what more optimal systems are available for us to choose.

By: FranceParisian

FranceParisian — Sun, 06 Dec 2009 06:10:49 +0000

….inflation…and hyper-inflation. Let me coin a word. How about MALFLATION!