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Might it be because banking is a blind spot for Krugman and the rest of the neoclassicals?

Finance is the brain [tumour] of the economy
by Migeru (migeru at eurotrib dot com) on Sat Aug 31st, 2013 at 10:09:30 AM EST
[ Parent ]
Resolutely so. Acknowledging the reality of MMT seems tantamount to heresy.

"It is not necessary to have hope in order to persevere."
by ARGeezer (ARGeezer a in a circle eurotrib daught com) on Wed Sep 4th, 2013 at 01:59:36 PM EST
[ Parent ]

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