Listen to this tweet by Candace Owens yesterday and the ensuing conversation (dumb people)

[HJCane]

So I like Candace Owens. I agree with her on many issues as it pertains to Black Americans constantly voting for Democrats, how the liberal policies keep them trapped etc...and generally on other issues as it pertains to liberal policies. I think she is a very bright 32 YEAR OLD lady. I have 3 sons 33, 32, 29. I also KNOW THAT SHE DOESN"T KNOW IT ALL and will tweet on things that make no sense but she's young. She is the same age group as my boys and at that age they don't know it all, but they think they do.

Her tweet was; We should ALL pull our money out of the big banks and deposit the money into only small banks."
So I tweeted; " You trying to cause the next depression?"

You should have read some of the dumb tweets back at me. It amazes me how stupid people are in this country!

What's the difference? If I take my money out of big and put in small how does that cause a collapse? We should do it and not bail them out like we did in 2008.

So I explained that if everyone pulled their money out of big banks the system would collapse. On and on and on.
I explained our money is NOT JUST SITTING THERE waiting for withdrawals. On and on.
One guy even tweeted "Whats the big deal FDIC will cover the money"

Mind blowing stupidity.

 

[Blackstar2727]

I think the point they're making is the money would never come out of the banking system, it would simply be transferred from one bank (big bank) to another (small bank). This is different then everyone pulling their money out of big banks all at once, which for sure would cause a collapse. I don't know enough about this to have a strong opinion either way but you'd have to think that even in a "best" case scenario it would create inefficiencies in the banking system, probably for a little while. I think the question is whether those inefficiencies would be worked out by the market or do we just need big banks to operate in a global economy? I think the blockchain/DeFi people would probably have a lot to say about the last point.

It's funny people were telling you they don't want to bail out the banks but they're OK with the FDIC having to "cover the money," during this transition. Wouldn't we all just rather have our tax dollars build some roads or pay teachers/first responders better? How about a high speed rail from my home in Virginia to Hard Rock?!