Why is this definitely true? Other economic/societal systems have fallen in the past. Why does that mean this one has to? Or is there some other reason why this statement is true?

I'm not trying to cast doubt upon this idea. I'm just trying to find out its justification, from a scientific perspective.

Cheers.

  • NaturalsNotInIt [any]
    ·
    3 years ago

    Tell me more about how all the richest and most powerful people in the economy are net debtors rather than net creditors.

    Banks and financial services are at the top of the economy,

    Banks need people to take out loans to make money. No one will take out a loan if they don't think they can make more than the cost to borrow it. The idea that consumer debt drives accumulation is bunk - if workers go into debt, wages go up or the cost of capital rises to account for defaults, which lowers profitability and lowers the demand for loans, which lowers the bank's profits ultimately. Banks are only at the top of the economy because Capitalists are willing to borrow to make more.