The global debt crisis - Is the world on the brink of collapse? | DW Documentary
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- Опубліковано 13 гру 2023
- Experts are sounding the alarm: the world is caught in a debt trap. The global mountain of debt has increased to more than 300 trillion US dollars. To cancel it out, the Earth’s population would have to work for nothing for three years. Is this a cause for concern?
Will private individuals, companies and even entire nations at some point collapse under the weight of this debt mountain? The film looks for the stories behind the debts to discover what can be done to address the problem. In Argentina, for example: Over the past 200 years, the country has faced bankruptcy eight times.
In the United States, people are punished for their poverty. Annita Husband was detained for months in a debtors’ prison in the state of Mississippi. Her fate is just one extreme example from a society in which more and more people in debt find themselves in a hopeless situation and lose their freedom.
But debts per se aren’t a bad thing, insists economist Christoph Trebesch. Particularly when the borrowed capital is used for sensible investments, debts make sense. But there are plenty of negative stories. One standout example of the credit-fueled hubris is the project "The World”, artificial islands off the coast of Dubai that, seen from the air, resemble a map of the world. Luxury properties built on the islands were designed as resorts for the super-rich. But the project ground to a halt in the financial crisis of 2008. Since then, the wind and the sea have blurred the outlines of some of the islands.
The film explores the question: what are the consequences of debts - for both debtors and creditors? And what sort of solutions might be on hand to deal with the gigantic volume of debt taken on by nations, companies and private households?
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The woman on the farm really rubbed me the wrong way. She bought her first properties at 19 years old, which sounds like she inherited stuff or just got it from her parents. No way a 19 year old worked her way up to that yet. And then she goes and tells other people, like Anita with children and a paralysed husband, that they need to be more disciplined and fix their problems themselves. Nice words from a woman who got handed a starting point ahead of most people.
Her name is KKKent.... enough said.
I see a lot of envy in a lot of people. The loser types
@@oscarcarrillodelgado Might just be a sense of justice, getting what is right...not everyone can afford robbing people legally :)
"Some are thankful, grateful, for everything you do for them", says the modern slave owner who hires migrant workers with zero protections and a ridiculous wage to do all the shit jobs she won't do.
Best way to end poverty is responsible parenthood. If we only chose to have children we can support, supportive to legitimate tragedies, and gave degrees of consequences to both genders who abuse their freedoms instead of incentivizing irresponsibility/criminal behaviors... - overwhelmingly our world would be a much happier place for majority of humanity to live🎩
Let me rephrase "To settle the debt - everybody has to work for three and a half years"...so that the billionaires can kick back and relax.
I got a crazy idea, let's get rid of all the tax havens on this planet and stop giving tax cuts to the top 1%
They can either way…
@@benjamindover4337to elites first they rob us then put to debt😅
@@benjamindover4337good question the evil 😈 🤔 😏 😳 🤣 🙄 one
@@benjamindover4337
Entities that own the most U.S. national debt:
Social Security
The Federal Reserve
Foreign investors, with the top five being:
Japan: $1.1 trillion
China: $859 billion
United Kingdom: $668 billion
Belgium: $331 billion
Luxembourg: $318 billion
Who are these foreigners, are they billionaires?
Foreign investors in U.S. national debt include a variety of entities such as central banks, government entities, independent investors, and companies. These can include pension funds, but also other types of investment funds, insurance companies, and private investors. The exact distribution can vary. For instance, at the end of 2022, depository institutions owned around 5.46 percent of the total U.S. debt. These institutions include U.S. chartered depository institutions, foreign banking offices in the United States, banks in U.S. affiliated areas, credit unions, and bank holding companies.
Most billionaires aren't billionaires from holding debt, but by owning private companies like Tesla, Amazon, Microsoft, etc. Hopefully this cleared up some of the confusion.
So long as Debt remains as a profit model for financial institutions, corporate traders and manipulators of this systemically broken system. No one will ever be free.
sooner or later there isnt anymore people to loan money too, so its a system that eats itself.
Debt is not the problem it’s the failure to live up to said debt and bad loaning practice
bitcoin fixes this
and people not taking personal responsibility and living outside their means!@@JC-ji1hp
@@Curling_Rack nope
"...to get recklessly into dept." Wall Street did this in 2008, the government bailed them out, and none of them said a thing about "moral hazard".
Actually there was a lot of talk about 'moral hazard', that's why the bailouts were controversial. But, the people in charge were convinced that if the big banks failed, then the whole economy would collapse. Unfortunately, they were probably right, and now those banks are even bigger!
The money has been paid back WITH interest. This is easily verifiable.
WHO is the world “in debt” to??? The Federal Reserve Banksters (private company). They alone can simply solve this by getting rid of USURY (“interest,” or “slavery”)
For everyone who's interested in how the economy really works and how banks keep up in a state of slavery I'd recommend the documentary Zeitgeist: Moving Forward.
@@IkeSpeaksUp Agreed. What was less verifiable for me was where those interests went.
Lowering national debt? infrastructure? healthcare? main street debt forgiveness?
"It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning."
- Henry Ford
What did he mean by it?
@@Fractal_7 The monetary system favours the elites.
Every revolution leads to new group of elites.
@@Fractal_7 that the banks are the biggest legal scam in the world
Bitcoin LFG
11:52 yes, a century ago Argentina was one of the richiest countries in the world. But poverty was even worse at those times! We had literacy rates which were not the ones of a "rich" country. GDP per capita doesn't mean every person has that much money for themselves.
It's never ever been that rich for the working people of Argentina. It's always been underdeveloped because the few oligarch landowning families of Argentina only have cared about exporting low value goods while importing luxury items for themselves at the expense of virtually everyone. And Milei isn't going to change this dynamic at all, he's just a distracting sideshow like Trump was in the USA. I hope Argentina can properly develop in the future.
You failed industrialize and diversify so you declined.
Esp in oil rich, Arab countries.
Had Argentina been founded by the British rather than the Spanish, it would probably still be one of the richest countries in the world. That isn't a comment based on nationalism or race, but rather political economy.
@@thomHD If it were a British colony, the indigenous would have been even more exterminated than they were under the Spanish system. That's just how settler-colonialism has worked under British colonialism. Then probably for most of its history, it still would have been run by oligarchs looking to line their own pockets, they might have sought industrialization like in the USA, they might not have. It's not like Jamaica ever industrialized well, for instance. Australia was an underdeveloped penal colony for the British for a very long time. The USA only started to develop in a decent way when the working class started to demand better conditions. The 40 hour work week was the result of 80 years of violent struggle and once they achieved it, it started to be eroded. So no, it never would have been a guarantee that British-Argentina would have been rich.
No one can afford to buy their first property at 19 years old. Unless they're born into wealth or experienced a windfall. That woman is clearly oblivious to the advantages she's been handed.
@@mack0909 An Immigrant from Hong Kong or India (certainly not Mexico or El Salvador).
@@user-1rg9f2-g3l6d What's wrong with immigrants from Mexico or El Salvador?
@@HeisenbergWHWthat a lie , only few can be rich , the planet cannot sustain 9 billions populations to be rich , my father was working hard and did ot got rich and knew alot of skils , my brother without suspicious unfair behaviour could not make the money it has now and me i v find out that eithout selling myself and without unfair suspicious behaviour i cannot make it to have alot more money , my brother told me if you dont lick the shoes of someone else and do shady suspicious behaviour when nobody see you then you dont get to have so much money , you dont trick me , my father as well did alot of suspicious shady shadow suspicious behaviour when nobody see him , because that how itfunction they told me otherwise nobody give you anythingnit even the politicians
I bought my first house at 19 years old….!
@@HeisenbergWHW victimhood it mean recognising that someone tryed to decide for me and that I was atacked by someone else through invasion , me I must edit and modify the things according to my ideology biology homosexuality and biological maleness
Anita’s story is like a dystopian nightmare we only thought existed in sci-fi movies.
Right? Imagine running through life on minimal skills for 60 years, fall into dire debt because of poor decisions writing bad checks, then get confronted harshly with reality once health of family members deteriorate (as we all will). Financial literacy is abysmal and coupled with zero ambition and little intelligence, she got herself into a mess
...or in places such as pre-civil war Mississippi, where groups of people who, for various legally recognized reasons, didn't enjoy the same personal liberties as regular citizens could be forced to work at conditions on which they had no say for the direct profit of high-class business owners, who created entire business models around that scheme. Back then, people referred to that condition as "slavery"...
Financial illiteracy may have caused her problems, but she made choices to further break the law and steal from others by writing bad checks. Furthermore, she tried to run away from efforts to bring justice to her victims. People can be poor but honest. She is not.
Or in 19th century America.
Debtors prisons were abolished in the 1800s.
Maybe given her circumstances, maybe she was better off to have declared bankruptcy.
How many people went into debt for garbage designed to become obsolete?
But economists do not talk about planned obsolescence and the depreciation of durable consumer goods.
When have you heard an economist say that accounting/finance should be mandatory in the schools?
For everyone who's interested in how the economy really works and how banks keep up in a state of slavery I'd recommend the documentary Zeitgeist: Moving Forward.
The real debt is the maintenance on all the things we've built. Collapse begins when we don't have enough energy to maintain society.
You could say collapse begins when we don't have enough incentive to maintain society.
Energy is becoming expensive. The working class will be priced out of energy
Rise of China 🇨🇳
Global trend
"Another flaw in the human character is that everybody wants to build and nobody wants to do maintenance.” -Kurt Vonnegut
maybe we should have built higher quality infrastructure in smaller numbers and done proper maintenance on it instead of more low quality stuff.
Greed and extreme opulence are behind this madness
No, debt-based fiat money is the madness.
For everyone who's interested in how the economy really works and how banks keep up in a state of slavery I'd recommend the documentary Zeitgeist: Moving Forward.
When it comes to DW doc, I stop by, move on and always come back again to watch it. Why because it provokes thoughts that wants me to go back and watch it. And they are always good with their doc.
german stuff is good in most departments, it is sad it is getting replaced by plastic from asia.
For everyone who's interested in how the economy really works and how banks keep up in a state of slavery I'd recommend the documentary Zeitgeist: Moving Forward.
Every country in the world seems to be deeply in debt. Who exactly are they in debt to? Who has the kind of resources to lend trillions of dollars?
The rotchildes
Banks. And investors
They are in debt to the individuals and institutions that hold their bonds.
In terms of loans from the IMF, Argentina ranked first with $46 billion, Egypt stood at second place with $18 billion, Ukraine came in third with $12.2 billion, Ecuador took the fourth spot with $8.2 billion, and Pakistan was at fifth position with $7.4 billion. And the US pays the most into the fund! So you can all hate on the US, yet they pay more to the IMF than anyone, so they do commit to their responsibility considering their other downfalls.
Mostly its a mix of banks, investment firms and foreign governments. But trace all the money back far enough it all comes from normal citizens around the world through taxes and all the funds they have put in their bank or invested.
I live in the State of Illinois in farm country. My house is paid for as my car. The only debt I have is 600 dollars on a credit card and my utilities. If I still had a house payment I would be in real trouble. Like a lot of Americans I am only a couple paychecks from going without. The economy is going great for the top 1 percent, but not for us in the middle class or below. And I am considered middle class. I don't feel as though I am.
The real reason for the rise in global debt is that the 1% vastly underpay in taxes. Allowing people to become massively rich while there are massive debts to pay is the main problem.
Illinois??? Your state owes over 100 billion in unfunded pension liabilities. Pensions to retired workers is bankrupting your state. Lol
hate to burst your bubble but if you do not own any land or do not own the means of the production and have to sell your labour to a master in order to eat you are a 'slave' you may be free to choose your master BUT you are still a slave but then most of us are. Isn't life grand.
Between Obama bailing out the banks but not the people and Trump giving his rich friends a tax cut they didn't need, our debt has become astronomical, but one day (soon enough), there will be a final straw.
I recently went through bankrupty after being under debt-service for 13 years. I was using credit to supplement lack of income, and cost of living. I don't live lavishily or do much of anything.
Debt and military spending are the US's only means of income. The more available credit/debt the less you have to pay people. The credit supplements their income, and locks them into an endless slavery. Not permitted to save or do anything, as their paychecks are always already spent.
I'm no longer making debt payments, but I'm still precariously living check to check. Incurious people claim it's entirely my fault as if I hadn't considered or tried for years to fix my situation.
I appericate stories lile this. I hear them often. Many Americans go into debt simply using credit to pay for utilities, groceries, or housing gaps. They dont' qualify for public assistance even though they barely make enough for housing, or less than enough. It's a sick world.
cool story, bro.
This is created on purpose to drag the majority of people into misery, and control them. It is all about total control, pushed by the lobbies in the USA admin. Who they are, I leave up to you Americans. Vote RFK Jr and you'll be better of. Support from Europe.
Thanks for sharing 👍
It's hard to take a step back if you can't support your current lifestyle. But that's what should be done if you can't afford it. Sell your car or downsoze. Move to a different place etc.
@@Review-rj9lq You're not an insightful person. Blaming the individual for wages that don't support the current economy is text right out of elite's playbook. You've literally contributed nothing.
I've never owned a car, I have no savings. I do not live lavishly. I do not go on vacations. I do not go to resturants, or concerts, bars or anything. I make just enough to barely afford a small apartment, groceries and that's about it. Is this a sustainble way to run society?
Now, an incurious anti-intellectual would say I'm not attractive enough to employers willing to pay enough to contribute to the ecnomoy. ...or make something about about skills.
All of this does nothing to actually analyze a situtation. Thinking is for adults, and this world is extremely lacking in them.
All I can think of is the "way things are" wants us all to commit mass suicide so they can continue turning the world into a playground.
The global monetary system was designed to be debt based. Growing debt is foundational. Every dollar, Euro, Yen, Pound is first borrowed into existence then interest is applied. The most sinister part of this system is that the interest owed has to be borrowed into existence which in turn adds more debt and interest. If people understood that principle they would understand that debt has to be created constantly to keep the economies afloat. As the debt grows so the money supply while the supply of good and services do not change which causes the price inflation what we all get to suffer through. This documentary is a nice attempt at bringing attention to something that everyone knows all too well but it doesn't even get close to the real reasons why debt is created for the sake of keeping economies and governments afloat. We should ask ourselves, why nations have to borrow their national currencies from their own central bank with interest? This is a trick question of course, national central banks are all privately owned, operated and for profit businesses.
And the Bank of International Settlements owns them all.
The fact that this isn't covered by the video is telling.
I googled "who owns US central bank and where does the profit go," but it says that profit goes to the US treasury. Can you please elaborate because I don't know how to verify what you wrote
@pakt...... 💯👌You Totally NAILED it. Perfectly summarized, thank you! 💯👍
@@user-ic4ce8xb5v ask a serious economist with a university degree. Money is debt. Or watch zeitgeist from 2007.
Mississippi, Iran, Egypt... Why am I not surprised Mississippi is in the list of worst states to be a human?
That was the worst part.
@@224miloyeah, that’s about as overt modern day racism as there is. Bassackwards place I will never visit.
The lady in Mississippi is not imprisoned for being in debt. She's incarcerated for stealing from her employer. To require repayment is only justified. Sorry, do the crime, do the time. She tried to beat the system and lost.
@@llaftsewyelrebmik5103has anyone ever helped you do a task, like moving to a new home? Did you report it to the IRS on your tax filing? THEN YOU ARE GUILTY OF TAX FRAUD!!
First offense? Ignorance is no excuse! You are hereby sentenced to the maximum allowable penalty under the law. And, you will be sharing your prison sentence with 330million other Americans who are also guilty.
@jasonlacroix6083 the lady in Mississippi STILL chose to steal. She knew she was stealing. It's not a victimless crime. It's hardly the same as neglecting a minor detail in one's taxes.
The problem isn't debt. The problem is people living like Kings and Queens, who never stop spending.
Mississippi's debtor prisons provide bonded labor, which is slavery. Many restitution centers and other parts of the justice system are owned by private, for-profit firms. Their goal is maximum exploitation, not reform nor education. People often resist arrest because once in the (in)justice system, it is hard to get out as fines and fees pile up.
The more I learn about Mississippi the more I think it operates like a confederate third world state and it really needs to be forced into change somehow but I suppose that's not going to happen in my lifetime .
Same in Louisiana. It's better to stay away from those states
@@mathisnotforthefaintofheart noted
Will not visit.
To get relief from justice system, you need to arrange another debt. Is not it. 😂
good, maybe that keeps more people away from debt
So now make a documentary about the lives of people who were robbed by debtors and how the debtors' behavior influenced the lives of honest people and companies.
Thanks heavens, I am in no debt. However, if situation changes (job loss, severe illness), I could also fall into this bracket. Many persons share the same scenario across the world.
But they keep bailing all the debts out. You are living much poorer than before
If you pay a mortgage you're in debt to your bank. Owing a company credit every month is a debt to pay. Most of us have this. Even having a contract or a subscription means that you are in debt to them. I'm in debt because of this but it's all manageable.
I suggest you take so much debt so that u become too big to fail then govt will help you
Just stop oil
@@tdtm82, even paying a car with cash is paying with debt because ALL money created since ’71 is on a debt-based form. It's just air; the whole monetary system is empty, we're all doomed once CBDCs and the digital place is introduced………
Why do we normalise debt? Who is to blame? I always found it strange how Americans prefer to pay with credit cards, with money they don't own. I have never purchased something that I didnt have enough savings for. I am potentially one of the lucky few who are in this situation, but I can't help but think its a mentality. I think we have normalised having debt.
The world you enjoy today would not be possible without debt. So debt is not a bad thing, it's HOW you use the debt.
@@joelkabenlmao give it just one more year. None of these people will saying stuff like that pretty soon. They think they’re so financially responsible while playing a losing game. The printed money itself is even debt. These people don’t even understand basic economics and the things to come will destroy them in so many ways. 🥂
Indeed! American will have a $1000 in the bank and use his credit card to do groceries shopping of $100.
Credit cards in the US offer a % cashback on all purchases with a 2-5x multiplier in certain categories. Choosing to pay your daily expenses with anything other than a credit card means you are losing money. (Assuming you pay off your card every month and don't accumulate interest.)
@@thomasbarron1031you know you are losing money by buying things you don’t need right?!
It’s a Fata Morgana trap. You get returns based on what you spend. It sounds like a psychological incentive to spend more….I just have list things I really need (must haves), should have and are nice to have. Most of the stuff I don’t need anyway.
Not much about the creditors though. That's also a key part of the story. Who owns all the debt.
Good point.
OMG! Anita's situation in US was straight out of Charles Dickens! I did not think they could do that in this country (Debtors Prison) in the 21st century! We are going backwards! UNBELIEVABLE! Just amazing!
If you think that is backwards look into how states are bringing back child factory work.
30:26 "I used to go an get..labor.." You just know K. K. Kent yearns for the good ol days 😂
I caught that, too. How she complains of entitlement mentality in others is classic narcissism.
You may not be interested in debt, but debt is interested in you. Even if you are a net saver/investor, financial collapse can wipe you out.
This is the sad but true fact.
Inflation can wipe out your entire savings very quickly, especially when rents, property taxes, food, & energy prices shoot up. We’re totally screwed!!!!
if your assets are real and not imaginary, only lost war can take them away from you. Not everybody fears debt for this reason.
Invest in gold
Some people get into debt through no fault of their own. Some people seek out debt in order to make money, knowing that they may not ever pay back the debt. They are the most ferocious and unforgiving of landlords. They work the system, knowing that their creditors cannot use threats or physical violence to retrieve their money, while they themselves often use intimidation, threats, and physical violence to make sure their tenants pay up on time. The nuances are many.
29:59 Setting legal complexities aside, what's evident here is a contemporary manifestation of someone exploiting the legal framework akin to a slave owner in the 21st century. It's truly reprehensible, and I wasn't even aware that such practices were permissible in the US.
I feel like manager of that system needs to be put in jail for crimes against humanity.
This documentary confounds sovereign debt of countries like Argentina - the causes of which are explained clearly - with private debt in rich countries like Germany and the USA - the causes of which are entirely different. Why, one wonders, does the documentary overlook the weakening of the social safety net in wealthy nations as one of the primary reasons for leading the less affluent to indebtedness while at the same time bringing up the story of Anita in Mississippi whose problems began as a consequence of the lack of support from the state. The same state that invested billions of taxpayer dollars to develop computers, the Internet and many other technologies that enabled a handful of very savvy individuals to become obscenely wealthy and had no qualms about spending billions to rescue financial institutions from borderline illegal financial ruin but cannot spend a penny on individuals falling into debt on account of illness or bad luck. And which refuses to institute a tax code that taxes the wealthy as heavily as the middle classes.
G7 is decaying, Germany is deindustralisation.. anyone be friend with America is down.
@@freeworld88888especially China is going down.
You conflated the word confound with the word conflate.
Brought down by Russia's lack of debt
bro you just explained capitalism!
Richest 1% dictate what will happen. Rest have to plan their expenditure. Reality.
Then aspire to be in the 1% through ambition, discipline, intelligence, and hard work.
Those riches from Dubai don't impress me at all.
DW docs are so good. I turned away for a couple of moments and I saw a woman in a horrible debtors camp, what a place I thought, and it turned out to be America. I didn’t recognize it. Such a shame.
Thanks for watching and for the feedback!
The lady in Mississippi is not imprisoned for being in debt. She's incarcerated for stealing from her employer. To require repayment is only justified. Sorry, do the crime, do the time. She tried to beat the system and lost.
She started off being in debt, hence she tried to beat the system. It is the causality that we are focusing on here - not the end result. In so doing, we would be ignorant and never fix the actual system
@@llaftsewyelrebmik5103 The debtor's prison is set up so the "criminal" ends up becoming a form of low wage labor serving a privatized incarceration system. It is in the interest of the prison to NOT let the prisoner pay back the debt. The only way she got out of the debtor's prison was to go to a real prison based on actual time served. I'd like to see some white collar criminals try the debtor prison too. See how fast they get out.
@@llaftsewyelrebmik5103 I agree she wasn't the best example. A debtor's prison is straight from a Dickens' novel though.
Poor documentary.
I was expecting the documentary to be more about the questions in its title and less about peoples private experience of personal bankruptcy.
Thank you for saying me 50 minutes of my life
*saving
This isn't a documentary. It's anecdotal.
The next generation of U.S. citizens should be enraged by the debt. They should demand and vote for debt repudiation.
But Americans voted for this debt. President Biden won the 2020 election in part by promising massive spending packages such as Build Back Better.
Are we EVER going to eat the rich?
@@maxasaurus3008 If that day ever comes, we will all go down together..
Shouldn't the current generation do that first?
Unfortunately there seems to be this terrible stigma in the modern world today where greed & the wealthy should be tolerated and that those that don't have the means or capability to sustain themselves should go without or die off. I hope that the increasing numbers of homeless start challenging that those that have and ?
Fantastic work! I'm very interested in understanding how companies and countries can have large amounts of debt and still be considered financially healthy. Take Japan just for one example, it's the most indebted country in the world, when you consider Debt to GDP ratio, but still, its economy is far from being in shumbles like Argentina's. For a long time, I couldn't quite comprehend that.
Good question. This is finance divorced from economics.
Japan's central bank owns a large amount of that debt. When Japan repays debt, it basically repays it to itself. It's all not that complicated - financing your debt with money your own central bank prints is sustainable as long as you keep the inflation in check.
All is ok as long as long as the payments on the interest are being made.
The answer is that 97 % of Japans debt is held by Japanese citizens.
Public debt is not real debt. Gov bonds are money that pay interest. They are obsolete in modern fiat monetary system and should be replaced by central bank accounts.
Keeping people in prison because of debt is way way more expensive than just cancelling debt if conditions are proven to be really poor and broke.
No it is not because they pay for their stay in prison
@@citylinkproject9901 lol no
@@citylinkproject9901 No they don't, WE pay for their stay in prison
@@citylinkproject9901 ?
@@citylinkproject9901 what the prisoners pay does not cover the cost of administering the fees, the board, electricity, or even the paperwork involved. That money does not go towards any of it. The whole process is a for profit business that's subsidized by tax dollars. These facilities is a form of neo slavery
Dubai is so strange
Built on sand, almost literally.
It's not just "undercover slavery".. There's slavery on all levels, whether you are considered poor, middle class, or even rich.. Of course, the different levels have different quality of life. But everyone (or at least most people) is working to pay debt..
If everyone is a Slave, who is the master?
@@filippalexandrov1554 There is not just one slave master. The people benefitting the most from a capitalistic system are the ones that don't want to change it, even though it would be better for society, and our environment. They will try everything they can to hold on to their wealth, power and comfortable lifestyle. Most other people are so indoctrinated and brainwashed, they think this nightmare dystopia is "normal" and just keep going along with it.
The boss of a higher level in the hierarchy.
@@filippalexandrov1554 ultimately you are your own slave, if you have to go in debt to live you are used to too much drug called comfort, sometimes too much can mean extremely little
Restitution centers sound so messed up, slavery is exactly what this is.
Much of the slavery in Mesopotamia and Egypt was a consequence of people being unable to pay their loans and had their own bodies as collateral. Because slavery is also economically & socially unsustainable if taken too far then those cultures invented jubilees to cancel the debts and free the slaves. That's one of the earliest examples of boom and bust cycles we know of from cuneiform tablets.
The system of restitution centres in Mississippi remind me of the Mississippi chain gangs of the past, where trumped-up charges were made against black people so they could be "lent out" to farmers to work on the farms for just their keep.
After the crash of 2008, the Australian governamnet deliberately spent money on infrastructure work at the regional level ( school building works / repairs was one such project ) to help workers keep their jobs, rather than bail out failing gig businesses.
Very pleased with DW docs! Thank you. Jon UK
In current situation important topic.
Discussion quite practical.
Hope, such a day will not come to Earth.
Yes, DW rightly said common people effected.
Good discussion DW.
We need to make a meme out of the guy explaining to us how to play with snow.
I really love DW Documentaries. However, I think you could have delved a little deeper into the complexities of the debts governments carry and what modern economists believe could be solutions. Some people say that Bitcoin is a potential solution or that governments should go back to the gold standard where currencies are actually backed by hard assets. Currently, I'm not aware of one country whose currency is backed by anything other than the public's trust.
This is true in the case of gold.. There was one man who wanted to create a currency backed by gold. His name was Gadhafi and we all know what happened to him.
@chrisperkins7331 of course, the US used to be backed by gold before Nixon changed that in 1971. Now a fiat currency like the rest of the world
Theres not enough liquidity in either BTC or gold to handle global trade for even an hour. Plus the transaction rate is limited by hashrate. Same goes for ETH with GAS prices.
What do you mean by "liquidity" The amount of money (aka cash/debt) in the world today is equal to 3.5 years worth of world GDP. So even at a generous 1 week to clear the transactions I am not sure how you arrive at that view.@@alextrebek5237
A debtor prison has never made sense to me. Too bad that lady didn't just declare bankruptcy before that happened. No, I don't think doing what she did is right, but the idea of a debtor prison is awful!
Well like you said she shouldn’t writing fake checks .. that has consequences!
I feel like this is a classic scenario of all the cards being stacked against you. Let's say she was hypothetically earning $15 per hour when her husband had a stroke and she became the sole provider. With a husband and three of four children, how is that wage going to provide the food, shelter and other basic needs of a family? I'm not condoning writing bad checks, but let me ask everyone something: What do you think the USA is doing when it's just about to enter into $34 TRILLION in debt? Our nation is also borrowing from Peter to pay Paul and that was the whole point of this documentary. If the economic foundation upon which our government operates is faulty, it is safe to assume that it trickles down to everyone else in the same way. Unless people are fortunate to have been educated about finances, debt will seep into their lives and control them. PS: The Debtor's prisons in Mississippi should be abolished...just an excuse to keep slavery alive in some small cruel fashion. KKKendal LMAO!
Fair enough but for those that steal millions do you see them at the debt jail?... this is just a debt jail for the poor.
The Bankruptcy Reform Act of 2005 makes it harder to declare bankruptcy and it was pushed hard by Biden and members of both parties.
Still she stole 13k and is shocked that she has to pay back. What did she expect?
Unconscionable! There is a darkness in Mississippi.
“Been that way for 30 years…” - life in Oklahoma County Jail, 2021
“No one truly knows a nation until one has been inside its jails. A nation should not be judged by how it treats its highest citizens, but its lowest ones.” - Nelson Mandela
Good topic 🥂🥂
The majority of this “Documentary” is about a few people’s personal issues. Change your title.
30:25 the name of the lady that basically slaves people 😂
She's living up to her name
I was looking for this comment…
What happens if everyone makes a stand and stops paying?
the people who do that go bankrupt and go to prison/ become homeless. The rest of us moves on like nothing happened.
@@bullpup1337 if the debtors stop paying, the ones above them will go down, after them, their creditors ... and so on. It takes just 25% + 1 debtor to stop paying to collapse the whole system.
Sadly, if you forgive the existing debts and or lower the interest rates, the borrowers will borrow more and in deeper debts. “You give them an inch, they want a mile”.
do not forget that they want something that does not exist, is not yours and only thanks to them it will become reality. This world needs a lot of indebted people so that a smaller group can become and stay wealthy. Do not think that if you are free of debt and know what's going on it is because you are smarter or anything like that, others simply do not have the choice at times, they have to borrow to live. Try their life if you think you are smarter than others and can beat the system twice
This was really interesting. Thanks for uploading.
Thank you for watching!
Really missing the english voiceovers, you're the only documentary channel I watch because they're listenable. Subtitles aren't readable against some backdrops.
Honestly not surprising that Mississippi was one of the most egregious of them all.
To think that we can experience infinite growth using finite resources is just plain stupid
which only proves that money is not a resource, it is nothing, it can be created till the last day of this planet and beyond this. It is a tool to take everything from everyone ... unless we decide to take over our private central banks
Anita is learning the hard way "what goes around comes around". As I write this, I can't help to feel anything except "amused detachment".
No sorrow. Only one question I have for her. Why did she let it go on and on and...
That's like holding a stick of dynamite with an unknown fuse length.
Then lighting the fuse and wait and wait. Each day of getting away with it translates into believing (Anita feeling) "they will never find out". Or we forget about the lite fuse.
Just an observation: most of the things we do in this life is tied directly to our past life behaviors. I think Anita just had one creeping into her life - again.
I think you can help individuals get out of debt with a simple law. Interest on debt can never be higher than the original amount borrowed. So many people pay down their debt, but cannot get ahead of the interest.
Simple to say, now find a plan to make it work. Can’t patch every problem with a single law
It needs to be much lower than that!
Teaching people about debt is the solution, not changing laws regarding interest.
@@robmoorept - there are plenty of people who understand debt and don’t have a choice. Hard times happen to everyone and there are plenty of greedy people out there that pray on the poor.
The interest is a measure of risk and the time value of money. Borrowing enables families to buy homes when they kids even though it would take them decades to save the cash needed. There's also a risk for the bank and an ongoing inflation that the bank need to recoup through the interest. If debt is too cheap then too many people will become indebted for dumb reasons. A good example is today's China where there's a massive malinvestment into construction of buildings there's not enough people to inhabit. Debt has to create utility (fx loans to finance factory expansion) otherwomuse there will be a growing bubble of bad debt that can't be paid off eventually. The interest is a good signal for all of this.
the question in mind is who is owed this money ?
Same question
banks ?
Banks, sure. Investors, anyone who buys bonds to generate a fixed yield.
The future children
@@timtam3691 Anyone that has paid more into the system than what they benefitted from it.
This is criminal to make poverty a crime. People fall on hard times and clearly cannot get out of the cycle. The woman with rental property has no idea how punitive life can be and the suffering other humans go through.
Thank you for the outstanding documentaries you guys put out!
If the world is drowning in debt, who are we paying too?
Very informative & helpful & easy to understanding. Well made documentary. Thanks from South Korea 😊❤
Thanks a lot for watching and for your positive feedback. We appreciate you taking the time to comment and
are glad you like our content!
I guess I don't mind scratching the dirt for food as long as it means a rich person somewhere can have a snow chamber in their 17th mansion. Totally worth it.
Thank you to Mr. Herzog for making this doco for DW.
It's just a matter of money. We can forget it and live on the harmony of workers and local capitals and the legislative community. If democracy works, the community managed by voters can prevent us from the creditors' ghosts. The problem is that people still don't know that we can change the laws through voting.
Excellent point!💪
I disagree on one point; most people DO understand that voting can change laws. They just don't because each person believes they will be part of the small minority that wins.
Stop making sense. Corrupt politicians via corporate governance don't like that kind of talk. Meany
" we can change the laws through voting." LOL HOWS THAT WORKING OUT
Debt as a profit model is the problem.
There isn't really another model for it. If a lender cannot profit from lending money then the lender will not lend. Perhaps that is desirable but it would have wide implications; credit cards go away, no more home loans, no more auto loans, the majority of the credit market would disappear and if you want or need something you'll have to bring cash.
You're not wrong, but I was leaning more toward zombie corporations that hoovered up billions in 0% interest in VC capital and having to pay it all back with now higher rates. As you correctly stated, I would add that it may take decades to a century to correct. The cracks within modern capitalism are really starting to show.@@austinduke8876
In Islam, usury is prohibited, the taxation is on accumulated wealth not income
The wealthy are encouraged to lend and even forgive those who borrow from them if they can.
Socially it's considered shameful to have excess food while you know your neighbours or family members are hungry @austinduke8876
@@austinduke8876 So in this system you have to invest or spend your money to keep its value
14:00 WRONG> Correction> the value of the monetary unit is immediately debased and devalued whenever the currency supply is expanded> no retailers do NOT "respond" by increasing prices! The value has become lower so good and services become higher, but not more expensive, bcz the value is essentially the same, but has a higher price tag
48:35 In the Caribbean islands, we have a similar tradition to "tontines" called "susu hand" When I was younger, remember my mother partaking in such groups. If you have a strong accountability system and organisation, it works wonders for all involved.
Most people in these situations don’t do the most important job of all- understanding money and how it works- this is why there are rich and there are poor and it’ll always be that way…if someone isn’t taught the right way to use money- what they have will never be enough. Said by a single mom who struggled with debt and money for years until understood that! And I continue to learn as information and knowledge is everywhere!! Effort just needs to be given to change and learn.
Great documentary,
one must ask who are actually benefiting from this systematic debt based economy?
the billionaires, obviously.
Really enjoyed this documentary.
Greetings from eastern kentucky!
Very worried about the way things are going especially rich people in government never understand what ordinary people suffer, you waste foods and use expensive things there's people who can't afford food or anything 😢😢 there's no doubt things will get worse if government don't know money is life to everyone everything cost money so how will someone who's not earning survive today.
you need to move elsewhere, if you can't earn where you are living, your skills are not matching what's needed there. Most of the time it is because high tech comes from abroad and people with less skills can't compete against the exports. What should you do, do not buy exports, if you can't afford to live where you are living move elsewhere ... most important. If your country is no good for you, take your children away from it. This is a single most painful thing you can do to the country .... take your children away from them.
We need efficiency on a massive scale to prevent a debt catastrophe that’s coming.
It's called computing and automation. You already are living with these changes bringing efficiency on a massive scale to every sector.
That's only 'efficient' for managers and CEOs; for others it often means the boot & loss of their immediate income. .@@infiniteloopcounter9444
@@infiniteloopcounter9444 obviously without the wisdom to create a smooth transition lol we'll keep fixing issues and making others until we start reaching the point where we're all cooperative.
Yes! I can't wait for Fully Automated Luxury Space Communism! lets go!!!!
Don't worry! A Venusian future is on the way, preceded by an inferno of climate and floods.
K. K. Kent getting free employees 😂😂😂
Obviously not. You can’t pay off debt if the prisoner does not get paid. You have a complete misunderstanding of the process, much like the woman who embezzled from her employer.
"Manage the money properly" what about the IMF?? What is their record???
The 1% is living the high life because the rest of us work hard in many dreadful jobs to ensure the 1% is still alive and kicking. The rest of us have no monetary cushion. The more educated the 99% become the more they work out the present system is not doing them any favours.
debt slavery.
all the media are silent, who is the beneficiary of this slavery.
They own the media aka as lame media.
banks and bankers ... they lend you money that does not exist and only get paid when the money is paid with interest. They are the beneficiary who will do whatever it takes to get the interest from you.
I was at a restitution center in Hillsboro Oregon, and it was a life-changing experience, for the better, with only a 15% recidivism rate, compared to 85%, without a restitution center. It must be the way the centers are run that counts. In Hillsboro, after sentencing, you get 2 days to go home and get your belongings, like makeup, clothes, jewelry, money, favorite pictures, etc.. They provide 3 meals a day, a real mattress, bus passes for where you need to go, like job, job search, classes, church, they even have a smoking area. It's an open door facility, bit don't leave without a pass. The facility on here looks horrible. How are people supposed to succeed? I think all states should have a program like Hillsboro. It works.
Smoking is unnecessary and costly. Who in debt smokes?
I was forced to spend 30 days there once as a lodger (long story). I could leave in the morning and didn't have to return till night since I wasn't actually an inmate there. It is scam. The food was horrible and I figured it cost them less than a dollar a day to make it. However, that prevented me from getting food stamps that month.
The forgiveness of the debt is not just a moral hazzard but also a financial burden on the creditor who would have to write off this debt. Rember, for every debit there is a corresponding credit of the equal amount so writing debt off will have a corresponding write off in the equity position of the credit who is also leveraged and could potentially mean that this credit will not be able to extend the further loans.
It's all to do with income and wealth inequality, both domestically and globally. The world is cheap and open to the global elites, whilst the poor remain fixed in their ever vitated countries. The debts of the elites, organised by their cronies in their parliaments, are socialised, whilst profits are privatised.
Excellent documentary. Debtors' prison is inexcusable for the US but the math on the Jackson MS woman didn't make any sense. Even with $11/day for the lodging it would take a bit over a year to pay back the $13k she embezzled at 40 hrs/week min wage, not 5 years.
She was only working part time
With due respect, the statement "Increase debt level leads to an increase in the value of real estate and stocks" oversimplifies the relationship. If the rise in the debt level is a result of low-interest rates, prompting more borrowing and increased buying/investing, then the statement holds true. However, it's essential to consider various factors influencing the increase in the debt level, as in many cases, accumulating debt can actually drive down stock values.
You are mistaking company debt for public debt, an increase in money, which is debt because that's how it is created, is always going to mean that money has to go somewhere so the statement remains true overall.
@@antonyjh1234 I completely agree with you, as stated in my initial comment. When debt increases due to factors like lower interest rates and expanded borrowing, it can temporarily stimulate economic activity (real estate, equity mkt) by injecting more money into circulation. However, this effect is short-term.
In the long run, as more money competes for the same amount of goods and services, it tends to drive up prices, leading to inflation, as we're experiencing now.
In general, whether it's personal, corporate, or sovereign debt, it's never a good thing in the long term.
it is enough that some people get lots of money first, they go shopping, prices go up to the level they pay for everyone, especially in prime locations. simples
It doesn’t answer the question that I really wanted to know. Who are the creditor of the world’s debt?
the bankers, they have to sell you credit to get interest themselves. The credit they give you is magicked out of thin air, the interest you pay them is real and they keep it for themselves.
Now I know what a sovereign debt expert looks like
"Bank controls the money flow & who controls the Bank controls the world economy "- me
Well said ;)
None bank can control the Word economy, so nobody alone can control it. Instead, capitalism logic do it.
Probably not you. 😂
@@Lordosvk maybe someone else also said that
@@shorifhussainzibon hello friend. im joking. Imo banks are just tool to control monay. Somone is still behind that. Also somone really clever say we cant control economic system its self living system.
Those investors talk from their own perspective, but that are ordinary people who always suffer :(
money supply is increased by rich people who get their money first and go buy stuff, prices go up, many more have to go in debt to afford to buy there too ... people are being pushed into more debt by a few rich who paying a lot increase prices for everyone. No rich people = stable prices.
Economic investigator Frank G Melbourne Australia is still watching this very informative content cheers Frank as subscriber 😊
If it was real money... it would be a problem. The fact is, they can print some extra if needed so there is no debt problem.
Do not keep fiat money anywhere, invest it in real good that can't be printed. If they print more money your goods will go up in price because through printing they weaken their currency.
Negation, greed, stupidity, end stage Capitalism.
This isn’t capitalism and hasn’t been for a very long time.
capitalism with checks and balances corrupted and removed by those who have the skin in the game.
Thanks for DW to take this topic. It is much needed for these times.
Thanks for watching and taking the time to comment.
Music is a labor of love in America; it's usually not a good way to pay bills!
Can anyone help me identifying the ending song of this documentary?
still searching
6:06 “That’s how you enjoy the snow”, it just feels so pathetic. If this is our children’s children will grow up to and think it’s normal, then humanity no longer needs to exist. We might as well just all die and give earth back to the Mother Nature.
😅
It is some what ironic that it is the oil that paid for this absurdity that will melt the ice that will drown it.
It is some what ironic that it is the oil that paid for this absurdity that will melt the ice that will drown it.
Just be patient. That will happen. After the chess game, both the king and the pawn get put into the same box.
outstanding program congratulation
Make sure you comeback to Argentina DW, to see the impacts of Dollarization. I also vehemently rebuke that we as a society are better off with Capitalism, it has benefited some to a wild degree sure but disadvantaged the vast majority who are unable to scrape together any benefits from the system, we need a more equitable solution and at the bare minimum create robust laws that protect and benefit the poorest amongst us.
The only way out of the debt trap is by accepting the "debt " as investment.
Stock market keeps getting manipulated up and I believe the US Treasury is behind some of it if you ever notice right on the hour at certain times when the market is down is remarkably gets massively pumped up. Diligent investors compelled to short sell the market on valuation are getting unjustly killed.
I think people who lost the ability to pay their debt due to no fault of their own (health reasons, divorce they did not initiated unless the marriage was abusive, death of co-debtor etc.), should have the interest on their debt canceled and pay only what they owe (which is obviously drastically less).
Who decides that? If you bought a 2 million dollar house and suddenly can’t pay, is that fair for people renting a small apartment and paying? Nonsense
Yea they’re not living in the real world. Unfortunately, we all will deal with health challenges or other unavoidable situations. The answer should not be enabling poor behavior by granting forgiveness to people who can’t manage a check book or avoid purchasing the latest shiny thing.
@@jackjackthompson5771 court could decided that. Your argument is flawed btw., you are comparing it to people in different situation. Are they renting because don't want to buy? Are they renting because they cannot save enough for down payment? Are they renting because they are not eligible for loan? Your example is not comparable at all to someone who wanted to buy, had enough for down payment and were eligible for loan.
If interest can be cancelled of a whim then the interest rates will be higher up front to hedge against that risk.
Debt shaming should be a crime. No woman, man or child should be made to pay for institutional "FEE"S", especially to probates'. This level of cash farming needs to be outlawed.
@DW, thank you for the daily life-related documentaries that open our minds and push us to rethink the decisions we make especially by impulse rather than by reasoning and assessing them through.