Flying SquidBut how would they be able to live on that?
BestBouclettesBut it’s not real money in their bank accounts! They can barely go by as is!
Aren’t they using that to get loans? They can easily buy anything they want using that as a collateral. So it is real money.
Pretty much yeah. It’s virtually unlimited money.
You have to pay loans back. Do you think lenders are in the business of handing out free money? They lend because they get a return–if they didn’t, there would be literally zero motivation to lend.
Obviously they pay it back, but the assets used as collateral usually grow faster than the interests they have to pay back. Which is pretty much free money.