It's A Wonderful Life bank run

[birdman4birdlegs]

I love the simpsons parody

bank manager:"no no, I don't have your money it's it's in bills house and and fred's house!"

moe: "Hey what are you doing with my money in your house fred!"

*punches fred in the face

*riot breaks out

haha

[Hperman09]

Too bad, the same shit was happening in the USA and around the world. The U.S. and the world economy is crumbling and had to go out a deposit banks. Bad news it around my area, my banks had to close for a few days then reopen. The world crisis is going on right now and we had to get this shit fix.

[partygirl209]

this is an aweome movie!!

[27ruthmurray]

danberkeley why put a smear on such a nice wholesome family movie with that comment?

[override367]

You're thinking of this place all wrong as if the money's back in the safe. Your money's not here. Now your money is in a commodities bubble, your money is in Greek sovereign debt derivatives and your money is in toxic mortgage assets, what are you gonna do? Nothing that's right, NOTHING

*evil maniacal laughter*

[WallStwizkid]

@override367 ...... um.....no.

[CountArtha]

George, you dirty fractional reserve banker!

[WallStwizkid]

@CountArtha This wasn't about fractional reserve banking, it was a building and loan facility. Building and loan, or savings and loan associations originally started out as institutions that held peoples savings, and then provided a loan when they had enough money for a down payment on a home. They were often "mutually held" by the depositors/borrowers, or even joint stock companies. In this film the villain stole money without crediting their account, and the bank wiped them out.

[WallStwizkid]

@CountArtha Also, Potter wanted to guarantee their deposits for 50 on the dollar, which at this point was better than not being able to redeem any. Only other option would be to foreclose on the homes their money already went into. Either way they were screwed, and from what I remember George and his wife tapped into their honey moon fund, canceling it to save the building and loan.

[JoyGrenade]

Hey, what the hell you doin' with my money in your house, Fred?

[phan7ompain]

Thanks for posting this clip! I'm going to use it in one of my economics classes.

[inkey2]

everyone do yourself a favor.....there has been rumors of a "bank run" or a "bank holiday" ( where they shut down all the banks at once) for a while now. It would be very wise to have a stash of cash in fairly small bills....1s, 5s, 10s, 20s....about $5000 total. Even though FDIC would make good on the money we do not know "how long" it would take to get armored cars to all the banks in the USA to replenish them.....could be a month....or more?

[WallStwizkid]

@inkey2 Enough with the nonsense. Banks can't shut down for more than 48 hours, and they have to provide withdrawal access through Atms. Stop watching conspiracy videos.

[inkey2]

@WallStwizkid why is it nonsence....the banks can stay closed for as long as the government tells them to be closed. In the crash of 29 the government closed the banks for about 4 days...then at the fourth day they extended it another 3 days. in the last 3 years 300 banks have gone bust. Even assuming FDIC will cover deposits up to 200,000.....the question is.....how long will it take them to literally get the cash to the banks. Most people these days can't go a week w/ out tapping their account

[WallStwizkid]

@inkey2 By law banks can't close for more than 48 hours, and they have to provide withdrawal access at ATMs. The Great Depression was caused from a deflationary spiral, since markets were oversupplied, which lead to high unemployment. The Federal Reserve at the time could not employ current easing strategy due to the gold standard, which limits leverage and the ability to expand the money supply. They actually contracted the money supply, which caused more deflation.

[inkey2]

@WallStwizkid but what about the banking act of 1933. That gives the President the power to close every bank in the country immediately for how ever long he pleases

[WallStwizkid]

@inkey2 Who's telling you this stuff? That's usually referred to as the Glass-Steagall Act, and most of it has been repealed over a decade ago, although some people want to go back to some of its restrictions based on the financial crisis a few years back. They enacted Glass-Steagall for the exact same reasons I just told you. They wanted an end to the gold standard, and they wanted to prevent deflation, and increase the central banks ability to lower reserve requirements,

[WallStwizkid]

@inkey2 It was the inability to lower reserve requirements that lead to the depression. It was mainly aimed at preventing deflation, as well as increasing re-discounting power of the Federal Reserve on treasury bonds. It also put a division between commercial and investment banking, but most of that has been repealed, commercial banks are able to trade more securities than they were, but that's also come under fire from some people who blame some of that ability on the financial crisis.

[WallStwizkid]

@inkey2 We would never be able to handle a bank run today if bank notes were receipts for gold reserves. It's impractical. The building and loan in this movie is actually different than full commercial banks, they had income limitations, and generally held savings deposits till a down payment was obtained, then offered loans. The depositors/borrowers had voting rights and financial decision power based on their shares. They were either run as mutual holdings or joint stock companies.

[inkey2]

@WallStwizkid the paper currency could be also backed by silver as well...like our old silver certificates,

[WallStwizkid]

@inkey2 When I say fixed exchanges, I'm not talking about just gold, but any commodity money. You don't need to back a currency with anything, it just limits the amount of leverage in the central banking system, that's necessary to navigate the economy. If you're minting silver coins or back notes with silver reserves, and shift in the money supply is going to result in a direct and proportionate change deflation or inflation rates.

[WallStwizkid]

@inkey2 Aggregate demand and aggregate supply are not instantly flexible to changes in money supply, and classical economic theories like the quantity of money have been proven inaccurate. It's money demand not money supply that has a more immediate effect on those rates. Quantity of money assumes all created money is transactional, ignoring savings, and that's not true.

[WallStwizkid]

@inkey2 During the gold standard, there was common "boom and bust" business cycles, and they were usually sharp. Any type of fixed exchange wouldn't have mattered, the great depression would've occurred regardless. Current monetary policy that's simply fiat currency not fixed, would've preventing the great depression, for the ability to lower bank reserve and expand would've been available.

[WallStwizkid]

@inkey2 There was a few typos, not fixing it. Point is basic. Central banking needs leverage, it's been proven that the market doesn't just always clear into equilibrium by the market fairy, it needs to be navigated. Fixed exchanges limit that ability, bank runs would be impossible to get through. Not to mention we'd have to restrict applications in the metal, for it would have to be priced at ridiculous levels, like when M2 money supply in circulation and deposits are over $8.3trill.

[WallStwizkid]

@inkey2 The most gold that has ever been mined is 142,000 metric tons. With an M2 money supply if $8.3trill. in the U.S. alone, it's already less than the value. There's also an uneven distribution of gold, so it would be more economically advantageous to countries like South Africa...we don't want that here in the U.S.

[WallStwizkid]

@inkey2 *of $8.3trill.

[WallStwizkid]

@inkey2 Investors pulled their money out for fear of further declining asset values. During supply gluts, banks usually hold off on collecting non performing loans because that further gluts supply, and makes things worse. Eventually, they'll have to restrict credit anyway since they had no money to lend. Demand did not increase with lower prices, and the market did not find equilibrium and clear, and eventually it crashed.

[WallStwizkid]

@inkey2 Current easing policy that the Federal Reserve employs will result any deflation by injecting money, which is why we left the gold standard. It was that inability to expand the money supply beyond a fixed exchange that started the depression. The only deflationary threats under current monetary policy exist from speculative asset bubbles.

[WallStwizkid]

@inkey2 Sorry typo *current easing policy by the Federal Reserve will reverse any deflation by injecting money. Like I said, during supply gluts, prices get too low and businesses are forced to liquidated. Banks get devalued assets, and hold off collecting and selling because it further worsens things, but eventually they have to restrict credit, because they have no money. A deflationary spiral caused the depression..completely different conditions in monetary policy currently.

[Tcassa89]

hey what the hell are you doing with my money in your house, Joe?!

[AbitaVets]

DEREGULATION HAS NOTHING TO DO WITH TODAYS ECONOMIC ISSUES.

THE GOVERNMENT PUSHED MONEY INTO HOUSING MARKET VIA FANNIE/FREDDIE WHICH PUSHED PRICES WAY BEYOND REAL WORLD VALUES,(MY NEIGHBORS HOUSE LOST $100,000 IN VALUE

PROBLEMS WERE APPARENT IN 1999 BAKER(R LA.) WARNED OF PROBLEMS.. DEMS AND LIBERAL REPUBS IGNORED WARNINGS

LATER, PROFESSIONAL AUDITORS BROUGHT DIRE WARNINGS OF THE FAILURE OF F/F BARNEY FRANK(D) MAXINE WATERS(D) ATTACKED AUDITORS.

$400 BILLION TAXPAYER MONEY ON LINE AS OF NOW.

[Johnson1290]

Search for "Wonderful Life" on the iPhone App Store.

[1pocho3000]

Wow, before this year I never noticed the profound meanings and themes of this classic I have seen every holiday since I was a child. The Bailey's represent the small, American business that truly want to help the common people, while Potter represents big business which only looks to profit off of and exploit the hard, working class. With all of the shady foreclosures that banks have done recently after the mortgage industry was deregulated during the Reagan years-this movie is ever pertinent

[Fenderkicksass]

hahahaha the Simpsons

[ToxicOdiousOne]

My money is in my house and my bank. Nobody has a legitimate claim to my money without my consent.

[ToxicOdiousOne]

Socialism. Screw the Federal Reserve.

[inkey2]

"no but your thinking of this place all wrong, the money isn't here.....you're money is in Joe's house.....he took out a home equity loan so he could buy a a big screen TV, vacations in the Bahamas, a new edition on his house, his wifes breast enlargement operation, and speculating in risky real estate deals....you understand don't you?"

[YuTubeOO]

James Stewart was an amazing actor - We miss you !

[kingofthepaupers]

Jct: The money's in the neighbor's house? Pasted on the wall? What? That's not how it works. But it's how the banking industry lied to protray it.

[BehindTheSea29]

at 0:05 is that Diz from Mr.Smith goes to washington?

[punkfan18]

lol the simspons

[andy86i]

jimmy stewart esque bank manager-"i dont have your money here.. its in.. bill's house!.. and er freds house!"

moe -

"hey what you doin with my money at ya house fred"

the simpsons

[TrappedFly]

hahaha i now remember!!

[mastermindxyz1]

the ending always gives me chills...friends and family come together in tough times...love it

[clarence1444]

This is my favourite Christmas movie, and watch it ever year.

[inkey2]

I am not paranoid by any means....but.....I could "really" see this happening w/in a year or so. Lets just hope to god that American paper money even has any value in a year.

[BestManMe09]

Stewart mentioned in great new bio (Charlton Heston: An Incredible life) at amazon. Its by Michelle Bernier!

[Xtos1989]

Hey wat the hell u doing with my money fred

[mjwatts1983]

"Hey what the hell is your money doing in MY house Joe?"

[Zoomer30]

Pretty simple, Potter was a crook. He stole the money that was lost in the bank, did not return it. Evil man. I think its kinda a view of how things were back when the film was made, people thought bankers were evil.

[inkey2]

yeh, zoomer....I would NEVER do what Potter did......maybe if I was starving I might take a hundred bucks and mail the rest back to the bank.

[Capitalocracy]

maybe people were smarter back then

[9ansean]

To a point they did, but remember this movie came out after WWII had ended and the depression along with it. Than attitudes shifted. Remember hero is ALSO a Banker. While a letter in the FBI files at the timed called film Communist Progaganda, the battle aganist greed is one by community cooperation, not a new deal program. Family run small business with Herbert Hoover pictured on the wall saves town from Mega business with statute of Napolean in bossman's office. Other times

[wildgift2]

It's funny that it was pegged as "communist" when it's really more like propaganda for the middle class liberal banker vs. Mr. Potter, the rich banker. Communists would have lumped Bailey in with Potter.

[VernonDeMilo]

I had to look for this scene only because it's been on my mind lately. And then I see all of these responses, and I'm thinking, "Damn, people! The foresight in Congress PALES in comparison to what y'all are thinking!!"

Right now, it doesn't look like the money is in anyone's house...the homes are empty, and the gates are locked.

[JiveDadson]

Unfortunately, Joe took out two second mortgages when house prices were high, and bought a boat and one of those new-fangled "radio" things. When the house prices fell, he left the keys in the mailbox and left for Florida. Your money is not in Joe's house anymore. It's in the home-builder's bank account, and a boat and a radio.

Isn't fractional reserve banking fun? That's why they called it the "Great" Depression. Here comes another one, just like the other one!

[walkingbear56]

Despite the weekend agreement for JPMorgan Chase & Co. to buy Bear Stearns for a fraction of its value last week, worries that other banks had sizable exposure to troubled credit markets sent global markets tumbling.

Potters not selling, he's buying! Aka the Fed Reserve.. til all banks are under their control .

Greedy fucking bastards all of them..

Welcome to the Matrix!

[danberkeley]

Don't worry about it. Your money is in Mr. Spitzer's house. He used the money to buy a hooker from Jersey and he didn't invite you.

[ArmAVidz]

@danberkeley

But he did invite Mr. Brown, Mr. Mateland, Old Man White and Mary Lou Daisy all who showed up for the gig. XD

[blabblab1212]

Good luck getting your F.D.I.C. insurance when the shit hits the fan! Better empty your safety deposit boxes too!

[peachesruane]

potter's not selling. potter's buying!

aka...

in bear markets, stocks return to their rightful owners.

[walkingbear56]

how wonderful a statement of our own times!

Does anyone have the bit where he calls Potter a measly spider????

[thisismyname007]

Can you make George say "Your money is Joe the Alcholic's house" and "I loaned your money to a bunch of shiftless losers."

[TulseLuper]

Hey whaddaya doin' with my money in your house, Fred!? *punch*

[ItsFazsha]

What do you mean "Your money's not here?" Give me my money!

[BubbFromGEI]

"Your money's not here. It's in Mr. Kennedy's house, and a hundred other houses."

What happens when Mr.Kennedy borrowed 90% to buy his house and it drops by 20%?

Your money is nowhere. It is legally in the pocket of the seller, and you arent getting it (all) back.

[DangerousCombination]

Bank Runs will be more common, take your money out now, while you still can. This global credit crisis will hit every Bank. Government guarantees on banks could take 6 months to 2 years to retrieve your money. Australian banks don't guarantee deposits, only that depositors will have first claim to bank assets. Most countries have limits on guarantees, USA it's 100K per PERSON (even if you have multiple accounts across different banks).

[suzettegm]

You're very pessimistic,but you might be right.Things are certainly tricky. Anyway,I love the understatement of this vid.And I think in Holland it's €20.000, are we lucky!

[johnhhaskell]

um, no, in the US it's $100,000 per institution, a very significant difference. Also if you recall the 90-91 crunch they let very few depositors (even with more than $100k, and even of the worst banks) lose money.

[lightningstrike4]

Some funds here in Australia have been frozen for 6 months. Its happening times all right The more things change the more they remain the same.. I love being old you can predict the future

[aggiebagle]

"I love being old you can predict the future"

Classic!

[suzettegm]

Not to worry, people are only taking shelter from the rain!

[9ansean]

Really!? They why do they all look out the window in fear when they hear the sirens!