by Handsome Matt
“Banks have an interest in building debt, but equity in society is vastly more stable than debt.” -Nassim Nicholas Taleb
Taleb is speaking about debt and equity. It is much more profitable for banks, if they keep us in debt. But it is much more profitable for our society and economy, if we’re out of debt and our economy is stable.
When a simple idea like forgiving debt is introduced: the backlash is astounding and from all sides. Why is that? Wouldn’t we all love to be freed from debt? Wouldn’t that extra income suddenly stimulate the economy? Wouldn’t we all be much better off?
Yet from all sides the cry comes back “no!”
The same thing is true when we discuss environmental issues. We would all be better off with cleaner air, cleaner water, less pollution, and better use of resources.
Even if gasoline were $0.30 a gallon, being able to get 100 miles per gallon is still a great idea!
Right now, it’s more profitable for our economy to slash and burn our resources and to not think about tomorrow’s consequences. Yet it is more profitable for ourselves directly, to invest into cleaner communities.
The question then is where do we want our money and focus to go? Towards a few companies profit margin or towards our own?