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Zer Netmouse
February 3rd, 2009
07:12 pm


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Do You Believe in Usury?

(58 comments | Leave a comment)

Date:February 4th, 2009 03:38 am (UTC)

Re: All interest is usury

1. The seller will always try to increase price, but without more money in the system, the buyer than has to take money away from purchasing other things (deflationary) to pay more for the other product (inflationary). Net effect is 0 inflation.

2. "There are other not-obvious causes of inflation, such as interest rates and finance charges." Yep, there's the interest again. So, why is that good?
(Deleted comment)
Date:February 4th, 2009 03:52 am (UTC)

Re: All interest is usury

Fair enough.

The classic definition of inflation is an increase in money AND credit. The increasing price effect that you speak of follows any period where money and/or credit is increased as long as it is spent into the economy. The world has now ballooned the available credit, but if nobody borrows the money into existence then prices will stay flat or most likely decline.

Our money is equal to debts held at banks. And it is only the principal amounts at these banks. The banks haven't created the money for us to pay interest. Even worse when you pay off your loan including interest, you've just taken money away from someone elses ability to pay just their principal. So, let's all ask, "Where's the Interest?"


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