Re:A $9T corporate debt bomb is 'bubbling' in the US economy
by dragonwriter on Monday December 17, 2018 @09:44AM
(#18699204)
> Where is that extra $10k coming from?
Spending money doesn't destroy it, it can be spent more than once in a year; even with no additional money, you just need higher velocity of money for their to be more money spent in one year than another. The extra $10K doesn't need to come from anywhere, the same way the base $100K (which was already spent the first year and thus "consumed" if you mistakenly assume money is single-use) doesn't.
Spending money doesn't destroy it, it can be spent more than once in a year; even with no additional money, you just need higher velocity of money for their to be more money spent in one year than another. The extra $10K doesn't need to come from anywhere, the same way the base $100K (which was already spent the first year and thus "consumed" if you mistakenly assume money is single-use) doesn't.