Snowboarding Forum - Snowboard Enthusiast Forums - View Single Post - US running out of cash?
View Single Post
post #4 of (permalink) Old 07-12-2011, 04:19 PM
Donutz
Drunk with power...er beer.
 
Donutz's Avatar
 
Join Date: May 2010
Location: Vancouver, BC, Canada
Posts: 5,121
Mentioned: 6 Post(s)
Tagged: 0 Thread(s)
Quoted: 91 Post(s)
Blog Entries: 248
Unless the money is sitting in a money bin like Scrooge McDuck's, it's not just "sitting". Banks are allowed to lend out money based some multiple of current deposits. They can also invest that money in other ways (i.e. stock market), in order to generate enough profit to pay the interest on the deposits. So the money is circulating anyway. Of course, with offshore deposits it's not circulating locally, so you're losing out on the local stimulation, and on local taxes.


Coffee is your friend. Everyone else is an acquaintance.
Donutz is offline  
 
 
Powered by vBadvanced CMPS v3.2.3
For the best viewing experience please update your browser to Google Chrome