[ratsforhorses]

Dumb question, couldn't the rich invest their money in their children's startups who then have "an asset that they can build , maintain to then borrow against ("their wealth") doing the same for their kids ad infinitum..? (Ponzi scheme?) Considering that interest rates have been going lower and lower seems like a great scam ... I mean historically it's nothing new the have's beget the have's ...there is an illusion of self determination and simulacrum of democracy but maybe where it hurts is that people feel shocked seeing "le roi nu" (or feel stupid yet trapped for putting up with such blatant truths..)

But to diverge, why not simply increase interest rates for people putting their money in the bank (so they stop buying multiple houses to increase their wealth ( making home ownership unaffordable for most of us) and instead give them similar returns for leaving their money in the bank to lend it to these people who borrow against their wealth...

Is it because higher interest rates leads to the boogeyman inflation?