2016 Postmortem
In reply to the discussion: Hillary Clinton opposes breaking up the megabanks, opposes reinstating Glass-Steagall [View all]Rilgin
(795 posts)I see. According to you, when an individual makes a deposit at a bank, the bank only gets a liability and does not get anything on the asset side of its balance sheet. So, according to you, the big banks must be totally bankrupt because of the huge liability they face to depositors.
Of course, deposits show up on the asset side of the banks balance sheet because the deposited & funds are no longer the assets of the depositor. They are assets of the bank. The depositor is now a creditor of the bank. The funds do not just disappear.
But again, I do not really care nor is this thread about precise accounting terms. I do not care where the bank's accountants place the deposits on the banks balance sheet nor what they call those deposits. That is irrelevant to this thread which is about Glass Steagall and banking regulation.
Just for you, I left a typo in the middle of this post so you can attack the words again without dealing with meanings.