Quote:
Originally Posted by nomadking
So where is all the money that is lent out in personal loans, business loans, mortgages, and indeed government borrowing supposed to come from?  How else can pension funds operate? The businesses wouldn't be able to get started in the first place.
Even Cuba has had to allow capitalist businesses. |
Mortgages are created out of thin air. They simply open a debit balance, secured against the asset, and charge you interest as you pay it back.