Quote:
Originally Posted by aceventura3
Yes. Two possibilities, one the FDIC could raise premiums or raise funds from member banks. Bank regulators could adjust the rules governing solvency issues so that marginal banks don't get caught in a panic. Or if there is going to be a "bailout", the government could provide guarantees or financial support to the FDIC.
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Okay. So let's say we let Citi, Bank of America, Wells Fargo, JP Morgan, Morgan Stanley, Goldman Sachs, PNC, US Bank, and Capital One (what's in your wallet?) die. They all file bankruptcy and then the FDIC then essentially writes checks to everyone who had money in these banks. People take their checks and invest in banks that didn't die. The market stabilizes? I'm serious, walk me through what might happen.