Chris Martenson: Debtors Rescued

Posted by admin on Saturday, July 1, 2023

Meaning of Chris Martenson Money Quote: saying Savers must be punished with low interest rates, while debtors must pay high rates so more profitable loans can be offered and creating less savings. Chris Martenson said:

 

 

“Savers have to be punished so debtors can be saved. Why? Because if debtors are rescued, that makes it possible for more debts to be issued in the future. And why is that important? Because the banking system needs ever more loans in order to survive” — Chris Martenson

 

 

In this quote, Chris Martenson is criticizing the way economic policy has treated savers versus debtors. He argues that savers are essentially “punished” through low interest rates, while actions are taken to “rescue” debtors by making it easier for them to manage or reduce their debt burdens.

Martenson suggests the real motivation for this approach is to benefit the banking system. By helping debtors pay off or take on new loans, it allows banks to issue “more debts in the future” which they “need” to survive since they profit from interest on loans.

So in summary, Martenson is accusing policymakers of prioritizing the interests of banks over savers, by punishing savers to enable an endless cycle of more consumer debt that banks rely on for their business model to function.

Birthday: November 7, 1951 – Death: March 3, 2024

Categories: debt Tagged:bankingdebtorsdebtssavers