An IMF paper identifies 124 systemic banking crises worldwide between 1970 and 2007. A systemic crisis is system-wide, not due to the failure or mismanagement of one or a few banks. I can think of no other industry, and some have pretty poor records, with such a sorry record. This is strong evidence that the central bank + fractional reserve + insured + conglomerated + mis-regulated banking industries everywhere have a structure that is fundamentally flawed. And this structure brings entire economies down periodically wherever it exists. The paper, in restrained language, identifies central banks as one of the culprits, … Continue reading 124 Systemic Banking Crises