It’s got nothing to do with keeping any red flag flying, Provost, but much more with achieving an optimum on required financial services for the majority of the population.
Read the articles I posted about the federal-state owned bank of North Dakota and how it weathered the financial bust in fine form and is still going strong. There’s nothing to prevent US states, or even whole economies, adopting the same basic banking/financial strategies and methods to ensure a fiscally sound economic future for everyone. The question is why won’t they do it? The answer seems to be that they’ve become so enamoured of the “Capitalist solution” that they see no other way out but to perpetuate it – and in doing so add to/compound the (their) financial problems.
The big banks and financial institutions are absolutely coining it in the present situation. Why else do you think they do everything in their (very impressive lobbying) power to supress the unquestionably positive results state-owned banks could have? They want huge profits! And huge profits are not to be gained if “normal folks” go about their financial occasions. That’s why banks took (and are still taking) so-called QI deposits to speculate on more than questionable financial instruments in the hope of making a “killing”.
The banking system in the western world is out of control and needs to be reminded that it’s primary reason it to serve the population, and not to strive to optimise profits at the sacrifice of “normal folks".
MsG