The first 10 minutes of the following video summarizes what I have written about over the last several months:
The problem still remains where a local bank “parks” its excess cash in this interconnected system. Can it be insulated if its borrowers are banking outside the state? Are its investments insulated from external losses? If excess cash is converted to gold, then converted back to cash as needed, that option may be part of a solution. It’s a brave new world out there.