Do I understand the bailout correctly?Submitted by ic1984wtf on Thu, 08/20/2009 - 13:10
The government tells us that some banks are bankrupt. To me, this means that they do not have the money people deposited, and not everyone would be able to get their money. The government then poses a solution in the form of using our tax dollars and printing money to replenish our lost money in the banks. Then, with fractional banking laws, the banks can loan out 90% of that money, thus creating a situation where they don't have the money to give to everyone again.