tag:blogger.com,1999:blog-2277215496195926573.post5018354926849446157..comments2024-01-01T07:41:51.347-08:00Comments on RALPHONOMICS: John Kay makes the same mistake as Vickers.Ralph Musgravehttp://www.blogger.com/profile/09443857766263185665noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-2277215496195926573.post-13643105756909718412012-06-28T15:25:22.309-07:002012-06-28T15:25:22.309-07:00Fractional Reserve banking is at the core of our o...Fractional Reserve banking is at the core of our ongoing disaster. I would gladly trade a zero pc return to ensure we never have another kind of these horror shows again.farmland investmenthttp://www.greenworldbvi.com/alternative-investments-options/agricultural-farmland/noreply@blogger.comtag:blogger.com,1999:blog-2277215496195926573.post-3952703080436306312012-06-27T23:19:49.760-07:002012-06-27T23:19:49.760-07:00"As a way out of this dilemma, they advocate ..."As a way out of this dilemma, they advocate that at least depositors’ money can be put into government securities. Well unfortunately even government securities are not 100% safe. Ever heard of Greece? As to more responsible countries, even there the value of government securities rises and falls.<br />"<br /><br />The way out of that dilemma is to offer a storage facility with the currency issuer - aka a savings account.<br /><br />In the UK we call it National Savings.<br /><br />That is then the 100% secure 'charged at inflation rate' financial wealth storage facility that the commercial banks have to compete with.<br /><br />The banks risky assets have to be backed by risk liabilities.NeilWhttps://www.blogger.com/profile/11565959939525324309noreply@blogger.com