DiscussWorldIssues - Socio-Economic Religion and Political Uncensored Debate - View Single Post - Let's talk about the fractitional reserve banking system

**slimsex** · 01-05-2012, 02:02 PM

Wrong answer again.

Interest is paid by spending (an action) using a thing called money that was earned via your labor. Money is spent over and over and it came from the original loan money.
The only place where money can be extinguished is at the bank that that holds the loan and erases the principal paid against the loan amount. The banker spends the interest portion back into the economy and once he spends it, it is out "there".

You say my answer is wrong. I am often wrong and need to be corrected. Your answer does not show 'where' my answer is wrong. Your statements do not negate my statements. You say the bank spends the interest back into the economy but if all the principle in the system is destroyed then there is no money to pay the interest. We are fighting a battle against everyone else to keep solvent and someone must loose. If someone is loosing then we are all loosing by being bound in such a system.

So where, specifically am I wrong? I wish to have a clearer understanding of this system.

01-05-2012, 02:02 PM	#30
slimsex Join Date Oct 2005 Posts 459 Senior Member	Wrong answer again. Interest is paid by spending (an action) using a thing called money that was earned via your labor. Money is spent over and over and it came from the original loan money. The only place where money can be extinguished is at the bank that that holds the loan and erases the principal paid against the loan amount. The banker spends the interest portion back into the economy and once he spends it, it is out "there". You say my answer is wrong. I am often wrong and need to be corrected. Your answer does not show 'where' my answer is wrong. Your statements do not negate my statements. You say the bank spends the interest back into the economy but if all the principle in the system is destroyed then there is no money to pay the interest. We are fighting a battle against everyone else to keep solvent and someone must loose. If someone is loosing then we are all loosing by being bound in such a system. So where, specifically am I wrong? I wish to have a clearer understanding of this system.
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