A reasoned defence of banking from Harris Simmons of Zions Bancorporation.
He denies there is any drought in bank lending. Even in the good times, he says, banks only provided 30% of credit to the economy. He confirms the figure that 70% of lending comes from outside the banking system.
This does beg the question, why governments (closely advised by bankers) thought we needed a bailout so huge that it puts the real economy (industries, corporations, small firms) at risk.
Thankfully Simmons doesn't give the more aggressive version of the banker defence: "Don't you realise how incredibly important we are to the economy. Nothing else could exist without us, dumbhead".
He denies there is any drought in bank lending. Even in the good times, he says, banks only provided 30% of credit to the economy. He confirms the figure that 70% of lending comes from outside the banking system.
This does beg the question, why governments (closely advised by bankers) thought we needed a bailout so huge that it puts the real economy (industries, corporations, small firms) at risk.
Thankfully Simmons doesn't give the more aggressive version of the banker defence: "Don't you realise how incredibly important we are to the economy. Nothing else could exist without us, dumbhead".
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