Debt Quotes - Page 25

• We need economic growth in Europe and we need to find a solution for the excessive interest rates that are making it difficult for many countries to get their own debt under control.

  Martin Schulz

  Country, Europe, Growth

  Source: www.spiegel.de

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• There are two definitions of deflation. Most people think of it simply as prices going down. But debt deflation is what happens when people have to spend more and more of their income to carry the debts that they've run up - to pay their mortgage debt, to pay the credit card debt, to pay student loans.

  Michael Hudson

  Running, Thinking, Two

  Source: www.counterpunch.org

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• Today, people are having to spend so much of their money, to acquire a house and to get an education that they don't have enough to spend on goods and services, except by running into yet more debt on their credit cards and other borrowings.

  Michael Hudson

  Running, People, House

  Source: www.counterpunch.org

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• The price decline is a result of having to pay debts. That drains income from the circular flow between production and consumption - that is, between what people are paid when they go to work, and the things that they buy.

  Michael Hudson

  People, Income, Pay

  Source: www.counterpunch.org

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• People tend to think that paying a debt is like going out and buying a car, buying more food or buying more clothes. But it really isn't. When you pay a debt to the bank, the banks use this money to lend out to somebody else or to yourself. The interest charges to carry this debt go up and up as debt grows.

  Michael Hudson

  Thinking, Clothes, People

  Source: www.counterpunch.org

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• As you have to pay more interest and amortization on what you owe, you're left with less and less money to buy goods and services - unless you borrow even more and go further into debt.

  Michael Hudson

  Pay, Interest, Goods And Services

  Source: www.counterpunch.org

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• Basically, unless you're willing to write down debts and save the economy, you're going to have deflation and a steady drain in purchasing power - that is, shrinking markets.

  Michael Hudson

  Writing, Shrinking, Economy

  Source: www.counterpunch.org

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• Paying debt service to banks leaves less income to buy goods and services.

  Michael Hudson

  Paying Debts, Income, Goods And Services

  Source: www.counterpunch.org

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• When there's deflation, it means that although most markets are shrinking and people have less to spend, the 1% that hold the 99% in debt are getting all the growth in wealth and income. Deflation means that income is being transferred to the 1%, that is, to the creditors and property owners.

  Michael Hudson

  Mean, People, Growth

  Source: www.counterpunch.org

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• Normally, if someone goes bankrupt, you wipe out the debt and get a fresh start. But that's not permitted with student loans. So the effect is to impoverish many graduates with very high debts.

  Michael Hudson

  Wipe, Fresh Start, Students

  Source: www.counterpunch.org

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• In housing you have jingle mail and you can walk away and leave the bank holding the bag. In the case of student loans, the debt follows you through life, and the banks or government will turn it over to collection agencies that are not very nice people and can do all sorts of harassing things to you. It's becoming a nightmare.

  Michael Hudson

  Nice, Agency, Government

  Source: www.counterpunch.org

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• Stocks always go down much faster than they go up. That's why it's called a crash. People who put their money into the stocks will find, all of a sudden, that stock prices are no longer being supported by the debt leveraging that's been holding them up.

  Michael Hudson

  People, Crash, Faster

  Source: www.counterpunch.org

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• Debt deflation is when there's less money that people have to spend out of their paychecks on goods and services, because they're paying the FIRE sector. Oil going down is a function of the supply and demand of oil in the market. It's a separate phenomenon.

  Michael Hudson

  Fire, Oil, People

  Source: www.counterpunch.org

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• Oil now, as a result of the Saudi production, is priced so low that there are not going to be new fracking investments made. A lot of companies that have gone into fracking are heavily debt-leveraged, and are beginning to default on their loans. The next wave of defaults that banks are talking about is probably going to be in the fracking industry. When the costs of production are so much more than they can end up getting for the oil, they just stop producing and stop paying their loans.

  Michael Hudson

  Talking, Oil, Cost

  Source: www.counterpunch.org

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• More and more money is being extracted from of the production and consumption economy to pay the FIRE sector. That's what causes debt deflation and shrinks markets. If you pay the banks, you have less to spend on goods and services.

  Michael Hudson

  Fire, Pay, Causes

  Source: www.counterpunch.org

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• The problems of 2008 were never cured. The Federal Reserve's solution to the crisis was to lend the economy enough money to borrow its way out of debt. It thought that if it could subsidize banks lending homeowners enough money to buy houses from people who are defaulting, then the bank balance sheets would end up okay.

  Michael Hudson

  People, House, Balance

  Source: www.counterpunch.org

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• Mathematically, debts grow exponentially at compound interest. Banks recycle the interest into new loans, so debts grow exponentially, faster than the economy can afford to pay.

  Michael Hudson

  Pay, Economy, Loan

  Source: www.counterpunch.org

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• When people are running up more and more debt for housing, they call that "real wealth." It exposes what's wrong in the mainstream economics and why most of the economics that justifies austerity programs and economic shrinkage is in the textbooks is not scientific. Junk economics denies the role of debt and denies the fact that the economic system we have now is dysfunctional.

  Michael Hudson

  Running, Real, People

  Source: www.counterpunch.org

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• The bank's product is debt, because the banks want to make sure that they can get paid for the debt. But ultimately the only party that can pay the debt is the government, because it runs the printing presses. So the debts ultimately either are paid by the government, or they're paid by a huge transfer of property from debtors to creditors - or, the debts are written off.

  Michael Hudson

  Running, Party, Government

  Source: www.counterpunch.org

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• Throughout history, the only way of restoring stability is to write down the debts. That is treated now as if it's something that can't be done. But it's the only thing that's going to revive the economy.

  Michael Hudson

  Writing, Done, Way

  Source: www.counterpunch.org

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• The idea for Anthem the play began over twenty years ago. I was assisting in the production of another Ayn Rand work, Ideal. I moved to New York and began working on producing the play with my partners. And as a way to raise money to cover some venture debt, we decided to stage Anthem for a limited run at the Lex Theatre in Hollywood.

  Jeff Britting

  Running, New York, Years

  Source: www.theobjectivestandard.com

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• Consciously or subconsciously, we become slaves to debt and social obligation. As a result, we end up more committed to the minutia and less in tune with the bigger picture: our deepest sense of purpose.

  Romany Malco

  Tunes, Purpose, Slave

  Interview with Maranda Pleasant, www.marandapleasantmedia.com.

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• Justice Sandra Day O'Connor has been a pioneer, and her dedicated service on the Supreme Court will never be forgotten. And the people of the country certainly owe her a great debt for the service that she has provided.

  Samuel Alito

  Country, People, Justice

  Opening Statement to Senate Judiciary Committee, delivered 9 January 2006

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• More taxes, more regulation, more Washington domination, more debt. Those things are not the future for America. They will never work.

  Jeff Sessions

  America, Regulation, Taxes

  Source: www.politico.com

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• Those policies - more taxes, more regulation, more debt, more spending, more government - will make American worse. It just will, in my view.

  Jeff Sessions

  Government, Views, Regulation

  Source: www.politico.com

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