Originally posted by admriker444
If we make the minimum payment, we will have paid over 600,000 dollars. Thats totally ridiculous in my opinion.
Thomas Edison:
People who will not turn a shovel of dirt on the project, not contribute a pound of material, will collect more money than will the people who
supply all the material and do all the work. This is the terrible thing about interest. Interest is the invention of Satan.
If a moneylender at the time of Christ had lent an ounce of gold at 5% interest compounded, then today the debt owed on this amount would be larger
than the mass of the entire planet Earth.
People might say "yes, but I'm not borrowing any money." It turns out that this is irrelevant. Since ALL our money comes into existence as a
debt, ALL of our money is earning compound interest to a bank somewhere. And while a few percent per year seems doable it turns out that this is
really a problem. I'll explain...
There are three types of equations you find in mathematics:
Type 1: One that grows fast in the beginning, then levels off. This is the type of growth pattern you find in nature. Organisms and populations
grow fast in the early stages, then reach a balanced equilibrium and level off.
Type 2: The second kind is a straight line that keeps increasing. This is called a "linear" equation.
Type 3: The third kind is a line that grows slowly in the beginning, but begins to get larger and larger at an
accelerating rate. Eventually
the graph shoots straight up. This is an "exponential" equation. This kind of growth does not happen in nature, except in 1 very specific
circumstance: cancer. Cancer cells grow slowly in the beginning, but begin consuming more and more and their growth rate accelerates until it kills
the host.
Guess what kind of equation compound interest is? You guessed it... exponential. So there is eventually a time when the amount owed to banks
increases so quickly that it becomes practically impossible to run a business for profit and keep up with all the outstanding bank loans at the same
time. Once this starts to happen, a complete breakdown of the economy becomes inevitable. It's like falling past the event horizon of a black hole.
Once you do, there's no escape. We're seeing the beginning of this today.
Now you know why depressions and revolutions happen. It's the demon seed in the economy known as compound interest.
Do not forget, anyone, that every dollar you use to buy and sell with is already owed to a bank. When a bank created that dollar as credit, it became
money, but when it's paid back to the bank, it disappears. The banks profit from creating money not by spending it, but by fooling the public into
thinking they had something to loan you. But the money banks create is less than the money we owe them in return, so there isn't enough money in
existence to pay them back. This fact makes it inevitable that people will default on loans, and give the banks the profitable opportunity to
foreclose on real property.
So they loan money that comes from nowhere, you can't pay them back enough because they didn't create enough, then they get to take your real
property away from you by convincing you that they gave you something. Think about it, did the bank really give you anything? No, it was the people
who you gave the bank's newly created credit money to that really gave you something of value: car, home, or college education.
Many people might argue that credit is needed in a modern economy to make things run, and to that I'll say that there are other ways to create credit
than going into debt to a privately owned corporation run for profit and owing them more and more as time goes by. Other plans have worked in the
past, but the people in power right now don't want you thinking about that...
You might have to start thinking about it anyway. Our lives could depend on it.
[edit on 2-2-2009 by username371]
