Quote:
Originally Posted by pip08456
So the money never existed but the Government propped up the banks because they'd lost the money that never existed anyway.
You on cookooland Damien?
Consider this. I have a property you want to buy so you get a mortgage for it, contracts are exchanged and I am paid by whoever you organised the mortgage with.
Just because you don't see the money doesn't mean it doesn't exist.
Money cannot "disappear" it may become less valuable but it still exists somewhere.
Like it or not, someone somewhere made billions out of the sub prime market and stitched up the banks. We have had to pay for it though as usual.
|
You buy a car. Sell it a year later and it will have lost thousands. Money disappears.
Yes, those house builders, realtors, mortgage-lenders in the US rust belt and elsewhere did rather well. How well they will do in the long-term is another matter.