Workers are warranting at credit cooperatives and at solidarity funds.

And that seems like a pretty reasonable proposition.

The least important form of capital, in this project, is financial capital money.

less capital intensive that there's less money that's required

And I'm actually going to initially capitalize this bank with 200 gold pieces.

So my initial equity is 300 gold pieces.

And as long as a company doesn't go bankrupt, they'll pay me some interest and pay me my money back.

In the last set of videos, we've hopefully familiarized ourselves with the different ways that a company can raise capital.

And so we took this number as the numerator and we divided by the number of assets.

IT OWES ME A DOLLAR!

And all of that is, essentially, just consumption that just destroys wealth.

I have 300 gold pieces of reserves

To make money it is necessary to have money, capital.

The second actor, different cast of guys, is the donors.

No more than I already gave you.

You will be reimbursed.

Now we can do another notion, and that's return on equity.

So this is lending some cash.

Khalid is asking for some money to be made as a donation to the mosque.

In return on equity, the numerator is the net income that we got, so it's 350,000.

I raise funds.

My own work focuses on making philanthropy more effective and capitalism more inclusive.

But they are extremely efficient organizations.

Let me do it in a different color just so the equity stands out from the liabilities.

From 500, let's say it goes to 1000, then that 1000 is now essentially split among these 5 shares now.

When will you return the money to me?

So 75,000 a year, or something like that.

That's simply not true.

So he owns it outright so all of the 100,000 of asset value is actually his equity.

Give us the gold!

Let's say my building is worth 100 gold pieces and then I capitalize it with another 200 gold pieces.

I'd like to rebuild the temporary auditorium.

I put it in, I don't know, maybe I'm a good investor.

(Audience cheers) And while my opponent would spend more money on military hardware that our Joint Chiefs don't even want, I would use the money that we're no longer spending on war to pay down our debt and put more people back to work rebuilding roads and bridges, and schools and runways because after two wars that have cost us thousands of lives and over a trillion dollars, it's time to do some nation building right here at home.

Yes, it's an enterprise.

let's have corporations take over, and that's not true.

We've got our funding.

So this is just another visual representation that

No matter how bad it was economically, he always got himself paid.

No industry. No capital. Money is worthless.

I intend to reimburse you.

Where am I taking this money out of?

In a world without leverage so if I didn't have all this

And on the left hand side, I have no liabilities.

You know, that woman that goes around to foundations asking for money, thinking about the economics of terrorism.