Last night I dreamt that the banks were hacked and everyone's debts around the world were wiped clean.
What do you think would happen at an individual, community, and world level if this happened?
Sometimes banks pay out a lot of money by mistake to small groups. It's humans behind the computers, and people make mistakes. When that happens, usually the banks will try to intimidate the small group of people into giving the money back. If they refuse, they have to let you be and keep the money. They often get the money back, from what I've heard.
Now, if
everyone had a substantial amount of money paid out to them, what would happen? If it happened in the 1950's or 1960's, the small banks would go bankrupt and the big ones would probably be fine in the end, because they made their living off of keeping people's money and investing in bonds.
Now, however, nearly all of the money that the banks make go into the stock market. What that means in reality is that they have an unbelievable control over the world economy. Back to your question, what would happen? The banks would lose a substantial amount of money. That substantial amount of money would disappear from the stock market. A monetary subtraction of that amount would cause terror and, very likely, another financial crisis. If another crisis came, millions of people would lose their jobs, the government would readjust their speculative economic forecasts, and if we listened to the news, the world would end.
We can blame the middle class all we want, but wouldn't it make a lot more sense to make it illegal for the banks to buy a substantial part of the stock market? Wow, that got very political, I'm sorry.
I would love if that mistake happened. Millions of people would be free to open businesses, start pursuits of better lives, getting qualified to get the jobs they've always wanted. Of course a lot of the people would get right back where they started, too. People are different and do with opportunity what they see fit. I just think that it's a beautiful thought and dream that you had.
War? Chaos? Joy? Freedom?
Life and society are all of these things at once. We're just being told that life and society isn't complex, as I see it. For some there is more chaos than others, same with war, joy and freedom. Ask a hispanic janitor who cleans prison toilets how full of freedom and joy his life is. Ask a guy who is in the top 10 of the Fortune 500 list how much war and chaos he experiences. We're all going through these things all of the time. We're not different at all, we're the same animal, but we come from different places. I'm rambling, I apologize.
How would impact country level debt?
Here's a controversial statement for you:
The direct consequences of a substantial amount of money being paid to the entire population by the banks would not impact the banks or the government all that much. It would suck for the banks, because their budget could have just been cut by a third of maybe even half, depending on the size of your bank. Look at the amount of money that your bank has in their banks and on the stock market. They would be fine.
Think of it this way: Harvard University had $20.7 billion dollars endowed by the US Government in 2011. If they had to pay for all of their student tuitions ($34.000 a year at the time) they would be left with only $20.6 billion dollars. It's sort of the same thing with the banks. So if they have so much to deal with, why would a payout be a big deal? Because they make out speculative budgets for themselves and spend the money before they have them. That's the weird truth to why millions of people lose their homes, jobs and families. Banks can't wait to spend their money in highly speculative stocks.
What would happen to economic growth?
Another crash would be terrible for the government and working people. Economic growth is a sham, it's not an accurate measurement of people getting more money. Rich people run the economy and they receive 90-95% of the money that the economy grows by each year.
What would you do it you woke up one day and weren't in debt?
At this point I'm practically not in debt at all as it is. I hate debt. I will be saving money with my girlfriend/wife until we can buy a house outright. Renting a house is very cheap these days, anyways. Everything is possible, and you can live a great life if you're patient. You don't deserve anything, basically, you have to earn it. That's what the world is telling you. Any bank or financial institution telling you otherwise are trying to get you to sign a very expensive loan. I consider loans with more than 10% interest to be very expensive, don't go above that. Save money. When you've got enough money to go to Europe every year with your kids one day, you'll thank me
Now if you just blatantly gave me $50.000, I would first go visit [MENTION=9054]BrightWhiteHeart[/MENTION] and take her on a trip across America, then I would go home and buy a Gretsch and a Martin guitar, and finally I would buy ridiculous speakers from my apartment. Oh yeah, baby!
I don't think that I've
ever gone this political on this forum before!
