While that may be true, one only needs to check that written /passed down history to see the same patterns of failure appear time and time again regardless of how much more advanced and educated we become.

I think it still boils down to the younger generation not having the patience and foresight to listen to their elders. They cannot help it, it's their nature to feel like that was in the past and no longer applies as times are different, they are smarter, have more technology and more understanding. Without the direct experience of living through uncertain difficult times it's hard to grasp the seriousness and magnitude of these complex financial issues.

Many in my grandparents age witnessed the closing of a bank and losing their deposits forever. (prior to FDIC coverage)

I'll relate yet another, boring to many, neighborhood story from here. Many were concerned about one of the local banks and whether they should keep their money there. One of the neighbors I'll call Ralph knew the bank president and volunteered to go and ask some hard questions. He went to the bank president who "opened the books to him" (whatever that was supposed to mean).  He came back home and informed the rest of the concerned neighbors that they were in fine shape and there was no need for any concerns.

Within a couple days the bank closed, and everyone lost all their deposits. Did this visit trigger a suspicion that there might be a bank run for deposits ? Who will ever know now. At any rate the closure and loss of deposits forever tainted Ralph's opinions in the eyes of everyone else in the neighborhood and also shaped their views towards banks and shattered their trust in the financial system. Those events shaped their actions and opinions the rest of their lives and led to their distrust of any sort of banking system. Those opinions remained ingrained with many of them until their last day. Those coming after soon forgot the stories and the pain and once again began to trust the system and that somebody else actually had their best interests in mind. That allows the deceit and crookedness and theft to once again be played out over time on unsuspecting and uninformed people. 

This is what could very well happen again with wide distrust of the banking system except this time they aim to cut off any option of remaining outside the system by trying to eliminate cash. 

They may try but something else may be used to facilitate trade. I have heard in bad sections of large cities bottles of Tide are stolen with regularity as it is used as a form of currency to buy illicit drugs. 

http://nymag.com/news/features/tide-detergent-drugs-2013-1/

http://www.foxnews.com/us/2013/06/21/drug-users-stealing-tide-detergent-trading-it-for-crack-officials-say/

http://www.usnews.com/news/articles/2012/03/14/pilfered-tide-detergent-new-drug-currency

Call it tinfoil if you will but there will eventually be a day of reckoning but perhaps it will not be until after my time here has expired.