Help Search Campus Map Directories Webmail Home Alumnae Academics Admission Athletics Student Life Offices & Services Library & Technology News & Events About the College Navigation Bar
MHC Home Mount Holyoke College
[ Followups | Post Followup | Economics in Popular Film Discussion | Help ]

----------------------------------------------------------------------

Re: Sticky Wages

Posted by Megan on November 14, 2001 at 20:36:43:

In Reply to: Sticky Wages posted by Alexandra Polly on November 11, 2001 at 21:17:12:

The FDIC can only cover so much money, so if everyone with NCUA or FDIC insurance demands their money, the banks will have to start calling in loans, which means if people can't pay, banks will repossess. I think thats what its so important for people to have a positive feeling about spending. When the fed lowers rates, people feel better about buying things because they are less expensive (from lower interest) and that deters people from taking their money out. A bank won't lend to a person who has no tangible assests that they can't seize if they need too. Its the same with unemployment insurance, the person still has some sort of income, so they will not cut back on their spending so dramatically. The programs do help, but ultimately it is the mentality of the person that turns the situation around.

----------------------------------------------------------------------

Followups



----------------------------------------------------------------------

Post a Followup

Name:
Email:

Subject:

Comments:

Optional Link URL:
Title of Link:
Optional Image URL:

----------------------------------------

Home | Directories | Web Email | Calendar | Campus Map | Search | Help

About the College | Admission | Academics | Student Life | Athletics
Offices & Services | Giving | News & Events | Alumnae | Library & Technology

Copyright © 2004 Mount Holyoke College. This page created by a script and maintained by Webmaster. Last modified on May 21, 2004.