Daughter (11)asks: Where does people's money come from?

[connda]

Money is first created by bank as debt.

Then hypothecated debt, then rehypothecated debt, and then derivatives issued based on rehypothecated debt, then there is exponentially more debt then money, then there is a financial crisis, then the banks go crying to the government, then the government pledges it will save the banks by issuing more public debt.

Current and future taxpayer, bond holders, and depositors shoulder the burden. Bank executives collect bonuses. Politicians receive generous donations from banks.

It works until it doesn't. Study history.

Edited January 9, 2014 by connda

[laolover88]

We all went out for Sai Baht in the morning and then to walk around in the evening;

Place does not look like Thailand! Everyone dressed to the nines in Chinese togs.Tour buses from Khon Khaen, Ubon, Udon, Sisaket, BKK..no hotel rooms..all full

Cafes full to the brim with 20 somethings ordering bottles of Black and Red Label as though it was a bottle of Chang....

but they don't drink it...just need to be seen to order it!!Clothes to die for.... Nowhere to park...Guys fingering the keys of their new Toyotas and a few Benzes...Everyone knows each other..this is a small town....girls stunning,

tall sylphs...30-20-30 figures

no bar girls here

Eventually I got the answer...cannot tell daughter!! It is all Heroin, Amphetamins, Ya Ba, Ganja....etc....appears most people have dual/triple/quadruple nationality: mainly Vietnamese/Lao/Chinese/Thai.....and that is in the order of who

is richest!!

Mexico on The Mekhong

Happy New Year!!