How Bad Are Things in California?

[luvfightgame]

Ok I admit I'm as thick as pigshit when it comes to the economy but I've never understood it.

I mean how can the world suddenly go into recession? Short of money just print more. I know there's a reason why it doesn't work like that but like I say I don't understand it.

Money is a sense doesn't exist anyway it's just a way to set a value to items to faciliate barter and trade, I don't understand how it can get all of kilter sometimes and can't be corrected with a couple simple recalculations or something.

It seems like modernisation and beureucracy complicate matters.

I can't envisage the native American indians for example having a sea shell crisis or the value of beads dropping against the value of buffalo horn?

Does anyone understand the economy and can explain this in idiot terms?

Here's the simple explanation. Our money supply has interest added to it's original creation. Example......
4 guys playing monopoly.
1 banker lends 1,000 to each of the 4 but requires them to pay back 1,100.
Problem..... there's more money owed than exists. Someone is always stuck owing and can't ever repay. 4400 owed but only 4000 on the table.

It's like musical chairs and we have alot of players with only a few chairs. The interest payments due are exceeding the money supply. It's from greedy bankers getting too much interest. If you buy a 100k house you pay 300k for it. The first 100k pays the builder, realtor, etc. The rest of the money goes to the banks. The leaches have gotten bigger than their hosts.

[Andre]

Ok I admit I'm as thick as pigshit when it comes to the economy but I've never understood it.

I mean how can the world suddenly go into recession? Short of money just print more. I know there's a reason why it doesn't work like that but like I say I don't understand it.

Money is a sense doesn't exist anyway it's just a way to set a value to items to faciliate barter and trade, I don't understand how it can get all of kilter sometimes and can't be corrected with a couple simple recalculations or something.

It seems like modernisation and beureucracy complicate matters.

I can't envisage the native American indians for example having a sea shell crisis or the value of beads dropping against the value of buffalo horn?

Does anyone understand the economy and can explain this in idiot terms?

Here's the simple explanation. Our money supply has interest added to it's original creation. Example......
4 guys playing monopoly.
1 banker lends 1,000 to each of the 4 but requires them to pay back 1,100.
Problem..... there's more money owed than exists. Someone is always stuck owing and can't ever repay. 4400 owed but only 4000 on the table.

It's like musical chairs and we have alot of players with only a few chairs. The interest payments due are exceeding the money supply. It's from greedy bankers getting too much interest. If you buy a 100k house you pay 300k for it. The first 100k pays the builder, realtor, etc. The rest of the money goes to the banks. The leaches have gotten bigger than their hosts.

Thats a great analogy.

[boozeboxer]

Hell interest is like around a percent or two ?