Whether people will continue to loan them money.

Well we learned what happens.

What are you carrying?

I'm pulling out of his scheme.

And so with patient capital from Acumen and other organizations,

And the corollary of more people willing to lend, is you that the actual standards go down.

And today, less than five years in,

And we could just say, that they have zero equity. and they have a million loan.

And so that cash ended up here.

We're now moving into East Africa.

Let's just show an example of how the actual mortgage works.

At the time, there was a microlending group in the village that gave her a 65 dollar loan.

97 percent of all the scheduled repayments came back to us on time.

It could be patents, it could be licenses.

Now, if you don't trust someone, you place restrictions on them, right?

So once again, it's just a loan to someone else.

The bank accommodated the company with a loan.

One, two, three enterprises are put together to repay loans.

And that's the best they could do.

But the banks are still pretty confident then, and they're like, no.

Let's see what happens when n is equal to 2.

So what is our payment amount?

Papa went to the bank to ask for another loan.

So that's a very handsome return.

And then at the end of three months, you pay that lender back the 10 billion.

So the risk managers within the bank think they have a great deal.

And then if we go to, let's say, 2003.

And it's really time we start thinking more creatively about how they can be fused.

And to do that, let's get a little bit more abstract.

So, corporate loans, or loans to corporations or banks.

But that led to the obvious question.

So maybe this asset right here was also a loan to Bank A.

Every two months, the typical loan officer approves 35 to 40 loans.

And she wants the infrastructure it is nice with a paved road.

The standards for getting a loan went lower and lower.

Right?

lives, maybe a mortgage, where it's a fixed term, 30 years, at the end of it you've paid all of the interest and you've completely paid off the loan.

Everyone wants to collect their loans from everyone else and no one wants to give loans to anybody else.

So it just forces the issue.

So this is the treasury yield curve.

It is generally true that if the money supply and the money supply is more than just the amount of dollars that are printed.

The money which people can take has lower interest rate, people can repay it without fear.

Joint guaranty for loans is more than an enterprise, right?

You can kind of say they keep on renewing those loans.

So this house is a 1 million house, right?