Cash For Gold : Gold VS Debt

It's very tired to do everything with single hand. Really hard and difficult. That's happened in my daily life. So, this blog is apart of my life to relax my mind and sharing something valuable to others.

As a banker, i saw a trend of growth in borrowing activities. Everyday, submission for personal loan application is rising. Maybe its because of Raya's event. By the way , this is not a healthy way of lifestyle. I'm sure they borrow the money is not because they need for life instead borrow for their willingness. They borrowed the money because they want to buy something more than they needed in their life. This purchasing power is influenced by emotion. When emotion took part in spending habit, for sure it will ruin the human life.

Nowadays, the amount of debt is more bigger than amount of money. Believe it or not! Just take this simple theory. As we learned from basic economy, the bank make money from its loan ability to provide. We called it as " multiply's power". Let say a man, saving their money into bank saving account for $10. The bank with their own "fractional reserve bank" will took some of deposit as their requirement. The balance will go into their system for creating more money by providing loan. The loan amount is like bubble. It is exist but we cannot assume it's really exist phisically. Like bubble, we know it is bubble. It can be ruin in a second without nothing. It's so many but it's also nothing.

Meanwhile, the gold is different. Eventhough the amount of gold is small, the value is big. What do you think about it?


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