Perpetual Money Growth To Pay Interest
Detailed Figures—Model #4

As with the previous three models, I have shown the details upon which model #4 has been constructed.

Money Transactions
Grower/Seller Seed Dealer Lender/Bank Deposit Liabilities
Beginning Amounts $0 $2,250 $1,250 $3,500
Grower Borrows To Buy Seed $1,000 $1,000
Grower Buys Seed From Dealer ($1,000) $1,000 $0
Grower Has no Seed to Sell $0
Grower Defaults on Bank Loan ($1,000) ($1,000)
             
Money Balances
Grower's
Money
Dealer's
Money
Bank's
Money
Total
Money
Deposit Liabilities
Beginning Amounts $0 $2,250 $1,250 $3,500 $3,500
Grower Borrows To Buy Seed $1,000 $2,250 $1,250 $4,500 $4,500
Grower Buys Seed From Dealer $0 $3,250 $1,250 $4,500 $4,500
Grower Has no Seed to Sell $0 $3,250 $1,250 $4,500 $4,500
Grower Defaults on Bank Loan $0 $3,250 $250 $3,500 $3,500
             
Corn Seed Balances & Transactions
Corn Seed Balances Grower's Corn Seed Transactions
Grower's
Corn Seed
Dealer's
Corn Seed
Net Quantity
Grown
( Bushels)
Quantity
Bought
( Bushels)
Quantity
Sold
( Bushels)
Price
($/Bushel)
Beginning Amounts 0 BU 1200 BU
Grower Borrows To Buy Seed 0 BU 1200 BU
Grower Buys Seed From Dealer 500 BU 700 BU 500 BU 0 BU $2.00
Grower Has no Seed to Sell 0 BU 700 BU -500 BU 0 BU 0 BU $0.00
Grower Defaults on Bank Loan 0 BU 700 BU

 

So, what conclusion should we draw from this model.
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