So you know these these are loans to really solvent or very creditworthy companies.

This is the equity...

And in the meantime, it's going to pay me interest.

Interest expense.

And that IOU, you could call that a Sal bond.

Morningstar type.

They go to 0.

You could do it with corporate debt.

Their balance sheets are identical, except for Jason's Shoes has 100,000 in debt, and Ben's Shoes has no debt.

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

My responsibility is to keep the company solvent.

So first, a little bit of definitions.

If the meme prospers, our laws, our norms, our society, they all transform.

Mr. President...please let me build a school for my grandchildren.

This company now is completely delevered.

Bonds, you become part lender to the company.

Tom's company is incorporated in the Cayman Islands.

Because I think, once they taste it, they'll realize that they're delicious.

Junk bond dealers left the market riding on a pillow of air.

The correct share price of the stock, if we didn't have

Respect for law is fundamental to our society.

And I kind of jumped the gun a little bit.

They'd start with your bonds preferred stock, and then move on to real estate.

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

You might have other liabilities.

So liabilities. Liabilities.

Let's say assets and I'll talk about margin requirements

But you can kind of see a lattice structure.

So for example, if you by a well I'll just say a face value bond of, let's say it's a thousand dollars, and there's a thousand people who do that.

He is the lawful owner of the company.

He's credible, an m a lawyer from a leading consultancy.

If these are really worth 4 billion.

I'm buying a treasury bond, means I'm implicitly lending that money, if I buy the bond directly from the government, that means I'm lending that money to the U.S. government.

I know I've overdrawn this picture a little bit too much.

What is even a treasury?

That company is on the rocks because of bad debts.

So just to understand what he's talking about, the central bank, it has liabilities and assets,

Let's say that it has, I don't know, 1 billion 1 billion in government bonds,

And what do we find?

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

So these treasury securities, whether they're T Bills, treasury bills, treasury notes, or treasury bonds.

And then we have the debt, the debt of the company, or the

Let's think about its liabilities.

Savings bonds.

So a security in the equity world is a stock.