Applied Understanding: Increasing Indebtedness to Banks [Systems thinking & modelling series]
This is part 24 of a series of articles featuring the book Beyond Connecting the Dots, Modeling for Meaningful Results.
The issue of increasing private and government debt to banks is a major concern after the financial crisis of 2008, as depicted in the following graph:
To understand why our society and government are increasingly indebted to banks we need to understand how our current money system works, and why we need a continuous infusion of new money in a growing economy. “Increasingly Indebted To Banks” investigates the reasons behind this and suggest a possible solution. This model was developed by Dr. Jin Lee, Consultant and Trainer, Malaysia and New York.
This model investigates why we are continually more indebted to banks and provides an option.
Need help? See the Model instructions
Next edition: Applied Understanding: Sustainable Capitalism.
Article sources: Beyond Connecting the Dots, Insight Maker. Reproduced by permission.
Header image source: Beyond Connecting the Dots.
