Hypothetical: Assets like land and housing are reliably expected to only increase in value.
Once one loan runs out, the assets are worth more and a new loan will be potentially considerably more than the previous.
As a second hypothesis, I suspect that fractional reserve banking plays heavily into this.
Hypothetical: Assets like land and housing are reliably expected to only increase in value.
Once one loan runs out, the assets are worth more and a new loan will be potentially considerably more than the previous.
As a second hypothesis, I suspect that fractional reserve banking plays heavily into this.