Banks Are Obsolete: The Entire Parasitic Sector Can Be Eliminated
Charles Hugh Smith
February 20, 2014
What else can we do with the $1.25 trillion we’ll save by eliminating these obsolete financialmiddleman parasites? A lot.
Technology has leapfrogged the banking sector, rendering it as obsolete asbuggy whips. So why are we devoting 9% of our economy to an obsolete parasite?Financial sector profits now total a staggering 4.5% of GDP (gross domestic product),while the expenses generated by financial churning account for another 4.5% of the economy.
Software and existing non-Wall Street/too-big-to-fail institutions could replacethe entire Wall Street/banking sector and drop costs to .5% of GDP, saving us 8+%of our GDP ($1.25 trillion) that is currently siphoned off by parasitic middlemen. The bankingsector is Exhibit A in the Middleman-Skimming Economy (February 11, 2014).