{"id":57551,"date":"2021-04-25T09:19:07","date_gmt":"2021-04-25T14:19:07","guid":{"rendered":"https:\/\/olduvai.ca\/?p=57551"},"modified":"2021-04-25T09:19:07","modified_gmt":"2021-04-25T14:19:07","slug":"whatever-happened-to-that-imminent-banking-crisis","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=57551","title":{"rendered":"Whatever happened to that &#8220;imminent&#8221; banking crisis?"},"content":{"rendered":"<header class=\"ContributorArticleFull_header__21CbP\">\n<h3 class=\"ContributorArticleFull_title__5lOqW\"><a href=\"https:\/\/www.zerohedge.com\/news\/2021-04-24\/whatever-happened-imminent-banking-crisis\">Whatever happened to that &#8220;imminent&#8221; banking crisis?<\/a><\/h3>\n<footer class=\"ContributorArticleFull_headerFooter__7kNgj\">\n<div class=\"ContributorArticleFull_headerFooter__authorInfo__1CaYc\"><img decoding=\"async\" class=\"ContributorArticleFull_headerFooter__authorPhoto__zwdHE\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/thumbnail\/public\/pictures\/LOGO_StarOnly.png?itok=JeURcwiT\" alt=\"akrainer's Photo\" \/><\/div>\n<\/footer>\n<\/header>\n<div class=\"NodeContent_mainContent__38L44\">\n<div class=\"NodeContent_body__2clki NodeBody_container__1M6aJ\">\n<p>In the aftermath of the 2008 financial crisis, many of us in the hedge fund industry expected continuing fallouts from the unresolved imbalances that were papered over with monetary and fiscal stimuli by governments and central banks. These measures failed to address, let alone resolve the systemic causes of the crisis. One of their consequences was a further weakening of large western banks, particularly the European ones. A new banking crisis was widely anticipated. Last June,\u00a0<strong>Alasdair Macleod<\/strong>\u00a0wrote that the &#8220;<a href=\"https:\/\/www.goldmoney.com\/research\/goldmoney-insights\/the-crisis-goes-up-a-gear\">Next significant event therefore will almost certainly be the failure of a G-SIB if not in America, then elsewhere.<\/a>&#8221;\u00a0\u00a0[G-SIB = global systemically important bank].\u00a0In my recollection, Deutsche Bank for one, has been on a death watch at least since 2016, but the list of banks that should have collapsed already is long and full of household names.<\/p>\n<p>Indeed, things looked very bleak when the Coronavirus pandemic struck\u00a0and they deteriorated sharply from there. Yet, the banking system is limping along and no crisis has yet materialized. How to explain this?\u00a0Last September I gave an interview on Renegade Inc. and went out on a limb with a hypothesis that only dawned on me about that time. Namely, I grew up in former Yugoslavia in the socialist regime under a one party system (Communist party, of course).\u00a0<strong>The world I grew up in was pretty much one chronic crisis of stagflation which ultimately led\u00a0to hyperinflation<\/strong>. My &#8216;eureka!&#8217; moment happened when I realized that\u00a0<strong>in spite of that state of affairs, we never had a banking crisis!\u00a0<\/strong>No major bank failed and we had no bank runs at any point.<\/p>\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Whatever happened to that &#8220;imminent&#8221; banking crisis? In the aftermath of the 2008 financial crisis, many of us in the hedge fund industry expected continuing fallouts from the unresolved imbalances that were papered over with monetary and fiscal stimuli by governments and central banks. These measures failed to address, let alone resolve the systemic causes [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[7772,31143,2014,111,312,2799,4318],"class_list":["post-57551","post","type-post","status-publish","format-standard","hentry","category-economics","tag-alasdair-macleod","tag-alex-krainer","tag-banking-crisis","tag-capitalism","tag-financial-crisis","tag-socialism","tag-zerohedge"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/57551","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=57551"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/57551\/revisions"}],"predecessor-version":[{"id":57552,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/57551\/revisions\/57552"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=57551"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=57551"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=57551"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}