• Alien Nathan Edward@lemm.ee
    link
    fedilink
    arrow-up
    15
    ·
    1 year ago
    1. Government steps in to bail them out *with tax money taken from the people who couldn’t pay their car note in the first place

    So either banks make money or banks take money.

    • Patches
      link
      fedilink
      arrow-up
      1
      ·
      1 year ago

      The people who couldn’t pay their car note in the first place usually ain’t the type making a shit ton of money. They probably pay little taxes if any.

    • msbeta1421@lemmy.world
      link
      fedilink
      arrow-up
      2
      arrow-down
      2
      ·
      1 year ago

      Well, yes and no. It’s grey like most things in life.

      Banks and credit are a means to “grow the pie” by allowing us to factor in future value. Before banks and credit, the world was a zero sum game where one person only had because the other person had not.

      They do serve a real purpose but are only valuable when properly managed.

      • afraid_of_zombies@lemmy.world
        link
        fedilink
        arrow-up
        4
        arrow-down
        2
        ·
        1 year ago

        Yeah that isn’t true. The world never ran on the mathusian nightmare. If it had everything would be gone by now. You see wild edible plants and wild edible animals. Also census numbers and tax revenues would have been stable. The people of the past had the same issues we had. They starved on fertile farm land, they had economic downturns, they had baby booms, farms would switch from high end cash products to cheap grains they could sustain themselves with and back again.

        Banks aren’t doing us some favor by being the engine of economic growth. Every bank you see has become a corny capitalism abomination that makes most of its money lending money to people who don’t need it, government infusions, and fees. Even the things that you can point to like financing a home ignore that it is a disease that they helped cause and they are selling the cure to.