>>508908895
>oh i recognize them, basic interest rate already requires magic money. The money you have given out is finite, so where does the interest rate come from?
The interest could theoretically be recirculated as it's being paid. But this is statistically impossible because:
1. part of each repayment instalment goes towards the loan principal and is cancelled out of existence.
2. there is an above 0% savings rate so some of the money is not in circulation and therefore at least temporarily/transiently unavailable to be earned as money with which to repay interest.
The real problem is that the money for the financial profits does not exist. This is the big, big problem of capitalism. It's not a closed financial loop. It only kinda seems like it's functioning as long as you keep adding more and more legal tender to it faster and faster.
Otherwise, someone's financial profit is impossible without someone else's financial loss.
>First you rob and scam the other people, when they have nothing left, you have to create money out of nothing to satisfy the interest rate.
I think you have it backwards. I think it goes like this:
1. The money for business or corporation profits does not exist.
2. You have to create that money.
3. You can't just create a fixed amount one time and be done. You have to create more of it continuously.
4. The more money you create, the faster you have to create more to keep the rate of growth, as a percentage of the already existent supply, constant, as the money supply grows from prior creation of new money.
5. Capitalism does everything with the goal and expectation of financial profit and nothing not with the goal or expectation of financial profit.
6. So capitalism has to do money creation for financial profit as well.
7. Only way to do that is to ask for the created money back with interest later.
>What you mentioned is just other means of robbing and scamming people.
People can divest, to a degree, by buying tangibles and even crypto.