Do You Believe in Usury?|
|Date:||February 4th, 2009 04:33 am (UTC)|| |
Time has value. The total number of dollars isn't the only factor; there's also the date on which they're paid.
Remember the Russian million-dollar lottery?
Halfway through the loan, the borrower hasn't paid the lender more than the value of the loan. (The value of the loan in 15-years-later dollars is around $250,000, being $100,000 plus interest.)