from Balaji | by Balaji

This is a question of bank solvency. Are your deposits safe? It wasn't really common knowledge before this crisis that either you bank at a big four OR you are at risk of losing your principal at any time. Literally the entire economy would have been positioned differently.

There’s a really stupid place where progressive antipathy towards “the rich” and libertarian antipathy towards “the bailouts” intersects. That really stupid place is when you start treating all the money in small banks as "obviously unsafe, bro". And the operative term is…