11.24.2008

debt trap poster revision


ok since i don't have any information on the poster, i was thinking of making a little info. booklet to go along with the poster explaining what is a debt trap and how the fed works to trap people in debt. a little info... 
in order for the economy to be well balanced (low interest rates, maximum employment) there has to be enough spending to cover the demand for products. spending only happens if people have money, so people will have money, if banks lend them money (business, mortgage, etc.)
banks will do their best to make you think that a loan is what you need because they need people to be borrowing. 
with borrowing comes interest rates, which can accumulate into debt. this borrowed money is usually too large for average to pay off within a few months. so these loans take years to pay off, and with time, the original amount you borrowed accumulate and become twice as much as it was when you borrowed it. this is the debt trap.

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