Banking also regained respectability after the calamities of the 1930s. Federal deposit insurance, which had been instituted in the depths of the Gre… - James Howard Kunstler
" "Banking also regained respectability after the calamities of the 1930s. Federal deposit insurance, which had been instituted in the depths of the Great Depression, and only for deposits under $2,500, was raised to $10,000 in 1950, and the middle class was induced to feel confident about keeping its money in banks again. Interest rates remained modest, but so did inflation. The influx of savings made money available in capital markets to invest in new ventures. It was real money derived from work already done, pay already earned, true capital. Before the great orgy of mergers and consolidation that began in the 1970s, retail banking was… local and community-centered. Bankers made loan decisions based on firsthand knowledge of projects going on in their communities—not, as today, based on bundling and selling clumps of mortgages for generic suburban developments they have never laid eyes on.
English
Collect this quote
About James Howard Kunstler
James Howard Kunstler (born October 19, 1948, New York City, New York) is an American author, social critic, public speaker, and blogger.
Related quotes. More quotes will automatically load as you scroll down, or you can use the load more buttons.
Additional quotes by James Howard Kunstler
[Globalism's] demise will coincide with the end of the cheap-oil age. For better or worse, many of the circumstances we associate with globalism will be reversed. Markets will close as political turbulence and military mischief interrupt trade relations. As markets close, societies will turn increasingly to import replacement[s] for sheer economic survival. The cost of transport will no longer be negligible in a post-cheap-oil age. Many of our agricultural products will have to be produced closer to home, and... by more intensive... labor as oil and natural gas supplies become increasingly unstable. The world will stop shrinking and become larger again. Virtually all... the... relationships... that we have taken for granted as permanent will be radically changed [...]. Life will become intensely and increasingly local.
Loading...