Payable to the City of San Francisco.

But this I just want to show you some data here.

What are my liabilities?

You're still solvent.

They serviced the loans.

We would create incentives for securitization.

Helps bring it down.

You have 189,000 as the value of this equity.

Now let's say it gets even worse.

What is your strategy in your household?

Well everyone knows that it's not going to be exactly 10 .

So that's bankruptcy.

You go get bankruptcy protection.

This guy, he does have interest.

It allows let's say this group of borrowers let's say this pool of borrowers right here actually didn't

It can do it through debt or equity.

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

Over the next few years big decisions will be made in Washington on jobs, the economy, taxes and deficits, energy, education, war and peace.

External debt something that I can tell you a long story about because I personally worked on one of the biggest debts on the continent has come down dramatically.

So we still have the same amount of debt.

So, each of these is an investor.

Have a surplus? Take two tax cuts, roll back some regulations and call us in the morning.

It's exciting, but we went over our finances and...

That man borrows money from many lenders.

That man is a heavy debtor.

That man has many debts.

So we could say, well, a new figure comes out ... let's see African debt.

So it buys, it buys debt.

You can sell shares.

And so when the Federal Reserve or any Central Bank prints money, and it buys debt, it goes out into debt markets and it buys it, it usually buys the safest kind of debt, but that affects all of the debt markets, it goes out and buys in the debt market, they're essentially shifting the supply curve of money to the right, they shift the supply curve to the right.

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

We would just know that there is a 20 chance.

I can no longer fulfill my obligations.

So I really do have a positive equity of 11,000.

They would actually owe this extra 1 million.

My office, please.

Into my office.

The bank was profitable.

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.

This is the retiree health care benefits.

The B1 office.

America's foreign debt shot past 500 billion.

Maybe debt that you have to pay in the next year.

These are the people who first lose money.