Not long ago, there was lots of money, so people bought lots of stuff.
Banks made lots of money.
Now, there is not so much money, but lots of stuff for the people to buy.
Banks are not making so much money.
What is the problem~?
Money has been lent to people to buy stuff, but with people not buying so much stuff nowadays, the value of stuff is falling in value on the bank’s books.
Because people aren’t buying as much stuff anymore, people are being paid less to make stuff, so don’t have the money to buy more stuff.
So, what should TPTB do~?
Increase the amount of money~?
Decrease the amount of stuff~?
(at the moment, the amount of stuff is being decreased via unemployment~!)
Calculated Risk – The Joker Chart