Who owns the debt?

The Northland Age - - Opinion -

I hear that Amer­ica is in debt to the amount of $21 tril­lion and ris­ing.

It also ap­pears that all other coun­tries in the world are in debt, so the ques­tion is who is lend­ing the money for these debts, is it the top 1 per cent of the wealthy peo­ple or the banks with their funny money, eg IOUs on pa­per only un­til the debt is paid with in­ter­est?

One must con­sider that land, build­ings, cars and other goods must be held as se­cu­rity for debt, so it would ap­pear very lit­tle is owned and paid for by the world’s pop­u­la­tion, which leads me to be­lieve that vast num­bers of peo­ple world­wide spend much of their in­come on the ser­vic­ing of in­ter­est and debt, to me a very prof­itable busi­ness for the lender to be in, to take ad­van­tage of fool bor­row­ers.

One has to be­lieve that what is pro­duced world­wide is not enough to cover the costs to pro­duce the goods, that’s why debt is in­creas­ing; so what hap­pens when the world runs out of se­cu­rity for loans?

Yes, debt has been the down­fall for many peo­ple around the world for cen­turies, and ap­pears to be be­com­ing a greater risk as we face trou­bled times ahead, re­gard­less of what our politi­cians or banks claim.

Yes, the above two claim they have ev­ery­thing in con­trol, and yes they have, as when things go belly-up it is the peo­ple who can least af­ford to pay that feel the pain of cor­rupt man­age­ment and prac­tices.

I do be­lieve that over the years the fi­nan­cial bub­bles we have ex­pe­ri­enced are noth­ing to what we face in the fu­ture, as it is not a case of if but when. Yes, there will be many ups and downs in world-wide economies, be­fore the big one comes, but I be­lieve it is com­ing, and mil­lions are go­ing to feel the re­sults.

Yes, low in­ter­est rates are a good means to con peo­ple to bor­row, and a prof­itable trap by the lenders to in­crease in­ter­est rates once they have enough peo­ple caught in their evil scheme, of live now, pay later.

One would be­lieve our economies would be re­duc­ing our de­pen­dence on debt, not in­creas­ing debt as ap­pears the case, so I smell a rat in our present sys­tem, not in our best in­ter­ests. JOHN BAS­SETT

Dig­gers’ Val­ley

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