Savings bonds.

They're savings bonds.

A common way to finance a budget deficit is to issue bonds.

So a security in the equity world is a stock.

I want you to fix this.

Now let's say that Company x has also borrowed some money.

And if buying debt seems like a weird thing to say, buying debt is the same thing as lending money (lending money).

So, for example, for each one gold piece

So it's going to be 6,000 times 1,000 bond certificates.

The proceeds from the bond issue will be used to finance the budget deficit.

Right now I only have 100 gold pieces of on demand checking accounts.

You can't get it on Yahoo!

We would create incentives for securitization.

It can do it through debt or equity.

I have 4 billion in residential CDOs, collateralized debt obligations.

There's very little chance of them defaulting on their loans.

They might have issued maybe they issued a million bonds where each of those essentially represent a debt of 80.

This could have been a straight debt from a bank, or this could have been via a bond issue.

that rectangle is much larger than it should be relative to 1,000, but I think you get the point then I'll do I'll have a liability here that says five gold pieces bank note outstanding.

But kind of the one that people always talk about, I guess in the same phrase, is bonds.

It might have been structured so that Corporation A right here, before even issuing the bonds, they include this insurance with the bond.

You can sell shares.

Instead of all of that we thought there is something new needs to be invented.

And we came up with this idea of issuing bonds, press freedom bonds.

And we said there's different kinds of debt.

But then there's a very fundamental difference in what the holder of the bond is doing.

My next presentation, I'm going to take it to a further

So that's what we're going to show you in the presentation on collateralized debt obligations.

I have a whole video on mortgage backed securities.

Loan B and I can give that.

over the total amount of

Go to the ticketing machine. Use the credit card to get your tickets.

Everything on the liabilities right now is on demand loans, which means whoever has that liability can come back and exchange it for gold at any moment in time, but the bank could've taken just a regular loan

Bonds were issued to finance a war.

And because it's a junkier rating, no one is going to want to buy it.

And I kind of jumped the gun a little bit.

Bellwether signs again.

I will issue a bank note

I feel secure when I invest in stocks but not bonds.

bishop?

I'll just create a checking account for them.

And what is a bond?

So this is essentially you have the government, you have the government, it has two sources of revenue that it can spend it has money from taxes, it has tax revenue, and then it can go out and borrow money, and so it also has access to debt markets.

And we learned that debt securities are often called bonds.

And the environment might be things like the stock market or the bond market or the commodities market.