So. Wait. If the FDIC is the company that insures the people against bank failure — and the banks are failing — from whom are they going to get that money? The tooth fairy?
Oh, wait — from the Treasury! Of course! Well that’s just great then. The government is going to print money to solve the problem of runs on the bank. After all, when has runaway inflation ever harmed a democracy?
Seriously. Americans, you do realize that printing money to cover debt the way the US is increasingly doing causes hyperinflation, which makes your money under the mattress completely worthless. Right? That means, gold is virtually the only material that can retain such value. Though perhaps someday, the US will become like a prison economy where packs of cigarettes are used as currency.
This post is brought to you by the letter O, as in, OH SHIT!
P.S. Once, William S. Burroughs made a statement regarding those food-hoarding survivalists. He observed that in the event of economic collapse, it would better to just hoard bullets, because bullets could, of course, easily be used as currency to buy food. That doesn’t sound so far removed from reality, does it.