Oh Canada Movie - Banking 2
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Compound interest only happens when you don't pay the simple interest as it comes due. Compound interest is interest on the interest, and it's great when you're saving for retirement.
We're paying so much interest today because we and our parents allowed our government to spend more money than we were prepared to pay in taxes. We borrow even more money to bail out GM. $160 million/day is what we should be paying in additional taxes to avoid paying interest on interest.
libertariancfo 1 year ago