> But it only happens when somebody borrows money, and somebody only borrows money if they think they can use that money to make even more money---i.e. improve

> But it only happens when somebody borrows money, and somebody only borrows money if they think they can use that money to make even more money---i.e. improve their productivity. You might remember years ago during ZIRP when most of us on HN figured out this "infinite money glitch". Basically as long as you're willing to start a company, and know who to talk to, you could issue shares, borrow money, buy assets, use them as collateral to borrow more and basically have all the money you need for the rest of your life. It was a severe red pill and rather cool. Money really is free. Productivity is a story one learns how to tell but is not really related to how loans are taken or given. I think most people understand this about loans at some level, if credit card debt is any indicator.