It seems that everyone is concered about their bank accounts these days. People ask me all the time what if my bank fails, will I get my money? The answer is yes the FDIC will insure your deposits up to $100k…but there is a twist.
What happens when the FDIC runs out of money? Thats easy. The government will just print all the money that the FDIC needs. But wont that cause inflation? Yes, and that is the twist.
Websters dictionary defines inflation as the continuing rise in the general price level usually attributed to an increase in the volume of money and credit relative to available goods and services.