View Single Post
  #10  
Old 06-21-2009, 02:37 PM
Matt L Matt L is offline
Registered User
 
Join Date: Oct 2005
Posts: 4,263
Quote:
Originally Posted by 73MB280SEL View Post
The story assumes that the debt is a big circle but it is not. It stops with the savers--either domestic or foreign.
Not really.

It starts with the lenders, who are not required to actually HAVE the money that they lend; they only need to actually have a letter of credit for a very, very small fraction of what they are going to lend and make interest on. This is because they have inserted themselves into our monetary system in such a way as to codify their practices into law.
Reply With Quote