>banks lend debt >debt must be repayed + interest >economy

Productivity growth due to increasing technology bro.

>>2958057
Most serious technology has already been discovered, now smartphone apps are considered "cutting edge" when 70 years ago they were discovering/developing nuclear power, jet engines, and computing

>>2958053
That is exactly the reason why interest was outlawed in many cultures for a long time

The solution is to let the banks crash, bring criminals in banks, cooperations, government and military before a court and into prison and exchange the current economic and financial system with one based on natural resources.

>>2958063
Unless the entire world is at the maximum possible level of technology, there will always be room for capital improvements and productivity growth.

And, this should really go without saying, nobody would give out loans with interest if it weren't for the people and businesses that take the loans. The fact that they take the loans indicates that they think they can invest the money profitably.

>>2958053
>>economy is not growing due to stagnating demographics, already high debt levels, and certain GDP growing events which cannot be repeated(industrial revolution)
But this part is wrong, retard.

>>2958053
>Is the economy a ponzi scheme? What is the solution?

It was working until Baby Boomers decided to have fewer kids.

>>2958199
Yeah, infinite exponential growth works perfectly fine in a physical world.

Nothing to worry about

>>2958053

Your giving me an R-Squared of 0.484 and reporting this shit as fact? Please. To make any certain predictions I want;

>More countries. Some of this may be due to poorer countries experiencing Solow catch-up growth. Furthermore, they may have less debt as their repayment rates on bonds are relatively higher due to a lack of faith within institutions.
> More than one year. Would be interesting to see how these figures develop over time.
> Elimination of outliers. It appears as if Greece, Portugal, Japan and possibly Estonia are outliers in this data set. Doing this would lead to a flatter curve and a better fit.

Economics is an important part of any discussion on public policy. However, it is only useful in the way that it reflects facts and is informed by data. If economists abandoned good data and methodologies, they would be no better than sociologists.

>>2958293
Sociologists use data though.

>>2958268
tell that to the infinitely expanding universe

>>2958315

Yes but the way we interpret that data is through our lived experiences as the beneficiaries of a institutionalized and internalized colonialist culture. Therefore, to get the true, non-white/capitalist/patriarchal reality, we have to ignore it.

>>2958339
exponentially?
and our planet and resource base is growing too?

>>2958053

Well what's the alternative? Let government go broke? You could try running under budget, but if you do that people will start asking why you need their tax dollars if you're just banking them and you'll find yourself back where you were, only with a smaller budget. Governments have to be able to borrow, if only to meet unexpected costs. Granted, this borrowing will then tie up some future tax money until it's repaid, and this fact wll make it more likely that a government will borrow again. And then, the second-term POTUS realizes that if they just keep borrowing and borrowing, they can use the cash to buy a legacy and leave the bill to the next POTUS' administration to take care of. Repeat until the inevitable crisis, then rinse and repeat. It only seems counter-productive when looked at in the long term, and politics is never about the long term.

>>2958268
Even with zero economic growth, loans and banks would still function because goods (food, housing, cars) are expended through use and need to be replaced.