Replying to Avatar ᴛʜᴇ ᴅᴇᴀᴛʜ ᴏꜰ ᴍʟᴇᴋᴜ

not strictly true, in the case of profitable enterprises

and those who borrow to consume are paying the premium in order to pull forward that consumption

the real problem is that encouraging credit financing as a normal way of doing business encourages imprudence and raises time preference, so it is a temptation that the lesser 1/3 of the population is very vulnerable to
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ᴛʜᴇ ᴅᴇᴀᴛʜ ᴏꜰ ᴍʟᴇᴋᴜ 1y ago

and i think it is actually false that financing enterprises is beneficial, in most cases i think it is not, like, 99.99%

it is a fallacy that important large projects cannot happen without credit, because it can happen instead with crowdfunding, or the old version, equity finance

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