SpanishMatMaster -> RE: Question for the most worldly among us, economics (11/1/2011 5:54:19 AM)
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ORIGINAL: Termyn8or And if al the countries are in debt, tell me - to whom, What entity is it that we owe our tithe or whatever that does not make itself known ? Where the fuck is all this money going ? In our insurances, mostly. The money which is still there. The other money, was never there, it was a calculation of the estimated value of things. If you have made a drawing, and everybody is ready to pay you 10.000 bucks for the drawing, how much is your drawing worth? 10.000 bucks. In bookkeeping, you would have to say "I have 10.000 bucks, they are in this drawing". But if tomorrow nobody wants to buy your drawing, you suddenly have 10.000 bucks less. Where are they gone? Nowhere, they were never there in cash, they were estimated values. So... some billions of 2008 are simply gone away, because it was the estimated value of debts, stocks, shares, houses, etc, etc. Some other billions are now in China (for example) which has a lot of debt (and yes, you can owe me 10000 dollar and I owe you 50000 yuan, and none of these debts cancels each other, even if the balance can substract one from another). Other billions are in funds, like insurance funds. Best regards.
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