Debunking Economics - the podcast cover image

SVB collapse shows there’s no safety in government bonds

Debunking Economics - the podcast

CHAPTER

The Chain Reaction Effect of Cryptocurrency

When a bank goes bust, when its liabilities exceeded its assets, then it can't meet all the claims it has on itself and those claims for assets for other people. So you get the chain reaction effect and that's what I'd be scaring the turkeys and the kutuki cookers in the Federal Reserve today and tomorrow. They're going to buy bonds because they're going to say, well, why would we put money, deposit money into a bank which is giving us, you know, a half per cent or 1% interest rate? They're better off buying the bonds and they get four five per cent. Yeah. And that's that means there's more reason there

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