I want to tell you a little about a friend of mine. He's got a PhD in economics and has been lecturing for years. From time-to-time I say to him: "Can I ask you a dumb question?" He always replies with a wry smile "Answering dumb questions is practically my job description." We had one of our chats last night:

ME:

I keep hearing:"Strong banks are essential to our economy." But surely, they should be saying: "A strong banking system is essential to our economy." The 1st statement leads us towards bank rescues and nationalisations. While the 2nd gives us more options.

My friend the economist:

Yes that is more accurate. In fact, I was studying in Finland in 1992 as a series of banking collpases swept across the Nordic countries. Many of the possible options were tested with varying success. Go on..

ME:

Well, I don't know if this option was available in the past... Why not establish 2 brand new internet-only banks in Ireland. And capitalise them with the €15bn. For that, you get 2 new banks. Each starting with a clean sheet. Free to borrow. Free to lend. The advantages are you get a banking system. You avoid nationalisation. You embrace pure competition. And no money gets thrown into a black hole.

Economist:

Yes. Pure internet banking wasn't an option in 1992. It could constitute a banking system. Such new banks would be able and eager to lend. The old banks could continue to deal with cash. But if they do crash..?

ME:

If a physical branch network is important. Co-opt the post office network. Or the credit union network. If internet access is important. Support internet cafes. Such an approach would be a snug fit with the government's policy of support rural Ireland and the roll out of the national broadband scheme...

Economist:

Sounds like it could work. But you know the old joke "If you want 4 opinions. Ask 2 economists"

So that's it. My dumb question to you is "Why not?" I'm hoping you can help me understand our options a little bit better.

I've been thinking about the way things change. And the way they stay the same.

I've been thinking about the way we think of their physical body as a fairly permanent structure, while we also know that our bodies are undergoing constant renewal. As they say there's a whole new you every 7 years.

But the new you is easily recognizable to almost anyone who knew the old you. Which means that we ought to see ourselves not as an immutable, permanent structure, but more like a standing wave.

Kinda like this one on the Eisbach river running through Munich's Englishergarten. But what is true for the individual. Is true for society and its structures and organisations. Multi-national corporations have emerged and remained highly recognisable as structures and entities over long periods of time.

The same is true of social, political and legal systems. Even though all the people that made up these social institutions have been replaced over and over again the system, like a standing wave has kept its essential recognisable character.

Institutions appear permanent and solidly fixed. But what we are actually seeing is a robust standing wave. Ever changing. Robust and dynamic. Most of the time. But also predictably susceptible to unexpected collapses. Permanent, robust, ever-present institutions are not as solid a rock but as collapsable as a wave.

I suppose, this is what Heraclitus was getting at when he said "All is flux" "Everything flows, nothing stands still."

I also like to think that the tradition of periodically rebuilding the Ise Shinto Shrines in Japan touches on this view of permanence. The Ise Shrine is a wooden structure that has existed for thousands of years because it is periodically dismantled and rebuilt in a meticulous manner.

Making the Shrine forever new and forever ancient. The Shrine stands as a demonstration and testament to the fact that lasting permanence can be supported on the back of a standing wave of social and cultural traditions. So maybe, the next time we are thinking of building and maintaining something robust and long-lasting.

Maybe we should consider adopting a standing wave as a metaphor. Instead of a rock.