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Cake day: June 12th, 2023

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  • The problem with your analogy is it presumes that losing 10% of whatever resource it is you are discussing does not have life altering consequences. Losing those two productive adults would be horrific if everyone was just getting by with all adults working at full capacity.

    It’s further complicated by the fact that someone will not always die at the same time as someone stops working. It is possible that fewer workers will need to support more people which again is hard if everyone is just getting by in the initial setup.

    Finally it’s made more difficult if the numbers are different such as 12 elderly 6 adults and two kids. The moment someone drops out of the workforce the productivity takes a huge hit.

    In every instance a greater number of workers fixes the issue. It is a problem of numbers not distribution.




  • It has nothing to do with banking or bankers at all. In a communist system you still need a greater amount of resources being paid into the support systems than being taken from them. If every worker only created enough to cover the needs of themselves and family there would not be enough fir those that could not work and have no family. This is a real world problem that exists regardless of your system for distributing resources


  • You are confused this has nothing to do with fractional reserve lending.

    You need a greater number of people paying into a pension system than taking out. As Japan has the oldest average population and a smaller number of people attempting to support that elder population they either need to increase the number of workers, decrease the payments to the point of making it almost impossible to retire or destroy the entire nation’s economy by doing nothing.

    Their problem isn’t that a bank can create fiat money by lending $10 twice, rather it is because of population decline