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Originally Posted by schola  ThoughtAddict,
Do you think the FBI would be investigating IndyMac if it their had not been a run and the FDIC hadn't taken over? |
As I said, there's fraud there. I'm sure the FBI had been investigating. That wasn't my point.
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Positive thinking will do nothing to stop the current financial system from continuing to unravel. This has nothing to do with confidence. It's systemic.
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Solvency occurs when there are more assets than liabilities. Lack of confidence for banks leads to less assets and greater liabilities, as well as significantly decreased income and inability to obtain private financing. It is absolutely tied in with confidence.