Re: Quotation of the day

On Mon, 12 Mar 2007 04:43:05 +0000, Eeyore
<rabbitsfriendsandrelations@xxxxxxxxxxx> wrote:



John Fields wrote:

John Larkin wrote:

Banks don't *create* wealth, unless the loan facilitates something truly
efficient and
productive.
---
Nonsense. They create wealth by charging interest.

Bollocks !

You *don't* create wealth that way. It's no different to privatised taxation.

Banks *do not* provide an output of greater value than the input, i.e. they do
not generate wealth.

That's economics 101 !

Graham

Banks can help create wealth by financing businesses. Big lending and
micro-lending can both be useful, and in some situations are necessary
to get things going.

But the interest they charge is just shuffling, and doesn't create
wealth.

John

.

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