So over here you had another liability.

I'll just write A period, so I don't have to write the whole thing.

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

So let me show you that right over here...

So you have an Accounts Payable liability of 100 sorry, at this point we had no Accounts Payable liability and then after the end of the month we have an Accounts Payable liability of 100.

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.

I will try to do proportional to the size so that right over there, that is the accounts payable the five thousand dollars. they both have that on the liability size now where they really diverge so this is the same amount 5 thousand dollars it should be about 1 4 of the size its not exactly how I've drawn it but where they really diverge is that Jason

So we still have the same amount of debt.

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

liabilities there and liabilities over here now, they both have the same amount of accounts payables maybe the people they are buying shoes from are able to delay paying those shoes just a little bit

You're still solvent.

They serviced the loans.

I bought Defence Bonds.

And the only liability that Ben's shoe company had was this 5,000 in accounts payable...

You've increased this liability that you owe things to other people.

Increasing the Accounts Payable is allowing us to not use all of our cash

This is the retiree health care benefits.

So it buys, it buys debt.

So let me erase that and then let's add a line right over here so we can say Accounts Payable increase and now this is a source of cash.

I'm only going to pay you 100 now and I'm going to give you 100 later

Accounts Payable is a liability

What it does with this is it essentially lends it out, so it's essentially buying debt.

Helps bring it down.

But it's a source of cash because we don't have to use our own cash.

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

Our profit in the first period is 30,000.

So that's bankruptcy.

You go get bankruptcy protection.

We don't have declarations of war anymore.

We would create incentives for securitization.

It can do it through debt or equity.

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

Payable to the City of San Francisco.

They're giving it to me for safekeeping.

What is your strategy in your household?

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

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

Now let's say it gets even worse.

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

Leave your money on the table.

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

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.

This guy, he does have interest.

You can sell shares.

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