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fooker an hour ago

All economics is circular financing, that's how it works.

You pay Apple for a MacBook, Apple uses it to develop a better MacBook.

What goes wrong is leverage. We haven't seen much hint of the 10x leverage kind of deals that brought down the house in 2008.

Taikhoom10 44 minutes ago | parent | next [-]

Uh no, NVDIA helping startups get financing so they can buy NVDIA chips is inherently damaging because eventually the debtors will not help with the financing and startups will not be able to buy chips.

fooker 40 minutes ago | parent [-]

Again, this is how all of economics works.

A Toyota dealership arranges a loan for you. Through a bank for a used vehicle, sometimes through Toyota itself for new cars.

A house builder will routinely take on part of the loan providing burden to get some of the interest.

Even someone selling you their thirty year old house will often provide seller financing.

You may have ideological opinions against this, which is fine. There are billions of people, for example that are fundamentally opposed to the idea of interest. But like it or not, this is how it has worked for the last ~500ish years.

39 minutes ago | parent | prev [-]
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