Time to Break Up the Banks

[Joanne98]

by Peter Rothberg

Last April, I wrote about A New Way Forward, a new and growing movement organized via the web and founded by young people who want to take back the power of the ordinary citizen to affect our economic structure. The organization's coming-out party took place last April 11 with more than sixty coordinated events coast to coast all making the case for alternative bailout plans based on the public's interest.

This new video, which neatly breaks down the causes and effects of the economic crisis, is the basis for the next day of action staged by A New Way Forward.

http://www.commondreams.org/view/2009/06/05-12

[msongs]

1. proof that banks do not follow the law of supply and demand...

went to the local bank and asked if they wanted more customers and they said yes.

asked them about interest rates on deposits, and wouldn't they get MORE customers if they competed against other banks and raised their interest rates to attract more customers?

they said they weren't raising their rates on deposits, thanks.

now supply and demand says if they want more customers they will give out more to get the new customers.

well, not in the world of banks.

oh well.

Msongs

[Raineyb]

2. LOL Don't you know the law of supply and demand is for other people

Like workers.

You're right about the interest rates they're worse than shit. My "high yield" savings account has an interest of less than 2% My regular savings not even a tenth of one percent.

[Wednesdays]

3. K&R

:kick:

[ovidsen]

4. Once upon a time in Illinois..

Banks (which are state chartered, or licensed) were not allowed to have branches. This was the law as late as the 1970s. Savings and loans (federally chartered) could. Of course, this was a time when banks concentrated on business loans, while S&Ls focused on home loans. Yes, even big banks (1st National Bank of Chicago, Continental) could only have one main office. No branches.

Then came Reagan, and deregulation, and the bank branch ban was lifted, and everybody (banks and S&Ls) went rabid trying to steal eachother's businesses. You can see the results today.

I don't have an advanced degree in economics, but something tel me things were better, more stable, and more solvent in the good ol; days...