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Why do we need private banks at all? | 133 comments (133 topical, editorial, 0 hidden)
Re: Why do we need private banks at all? (4.00 / 2)
I think the reason deposits are wanted now - and even more so a year or so ago - is that we are living through a continous financial crisis.

We're in a liquidity crisis and banks want to be in an all-cash asset position.

This is what the ECB's LTRO is about: allowing banks to get into an all-cash position for up to 3 years to weather the coming storm. Draghi to banks: winter is coming and it's going to last at least a year.

There are three stories about the euro crisis: the Republican story, the German story, and the truth. -- Paul Krugman

by Carrie (migeru at eurotrib dot com) on Wed Feb 29th, 2012 at 04:59:09 PM EST
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Why do we need private banks at all? | 133 comments (133 topical, 0 editorial, 0 hidden)
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