In this episode Scott Becker discusses how when a college coach says he or she is never leaving a job, you as a fan know they are halfway out the door. When a politician says there is nothing to worry about and the bank crisis is over, you know we have trouble ahead. See e.g. “Half of America’s Banks are Potentially Insolvent – This is How a Credit Crunch Begins” – The Telegraph.
Here it notes that the 2nd and 3rd largest bank failures in US history just happened. It also notes ” The US Treasury and the Fed would like us to believe they are idiosyncratic. This is a dangerous evasion”.
The article also notes that there 4,800 banks in the US and if they truly marked to market their holdings a huge number would be under water.
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