Whether people will continue to loan them money.

And so that cash ended up here.

Debt's a little different.

Well we learned what happens.

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

And we'll go into this massive recession.

We're now moving into East Africa.

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

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

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

So that's a very handsome return.

Or you maybe have to come up with a new loan or something like that.

The bank accommodated the company with a loan.

Papa went to the bank to ask for another loan.

It could be patents, it could be licenses.

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

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

People start shorting the stock, the stock go starts going down.

And that's the best they could do.

But this investment goes to everyone.

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

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

What are you carrying?

I'm pulling out of his scheme.

Let's say this guy gives the keys back to this bank.

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

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

For example, there's more money put into baldness drugs than are put into malaria.

And another company might be better at somehow getting better financing from the bank.

Debt could be just in the form of a bank loan.

It's fun. Carl, this bank traditionally has never given out small loans.

Well I have no debts, so I have 250,000 in cash, total.

Well, someone has to give you we could call it a bridge loan because they're giving you a financial bridge from here to where you need to go.

And so with patient capital from Acumen and other organizations,

Because all the banks are getting scared now.

That's called paying off the principal.

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

Well, what's going to happen?

The standards for getting a loan went lower and lower.

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

So how do you get past a liquidity crisis like this?

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

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

And if they default on it, I actually get an asset that's probably worth more than the loan amount, and I can auction that off and easily get my 500,000 back.

Well financing got easier. Or essentially they lowered their standards.