Everyone is born with a head and two hands so theoretically poverty should not be a problem. The problem on 2nd Earth is that the economics of the markt are based on thesystems ability to absorb debt. This is always finite.

Credit is not the same as debt. Debt is the transfer of credits belonging to one person to another at a cost. Credit is equity.

The most serious impediment to prosperity is impediments to credit. Debt-based currency generates debt and dries up credit.

On Second Earth credit is provided as debt. If a person cannot find someone with credit willing to provide it then he or she is not able to get credit. Hence progress is stymied.

If a person has acquired too much debt then they are no longer a good credit risk and so are not eligible to borrow more funds.

On Third Earth you can still give and get credit even if you are poor. Third Generation Credit Markets provide access to credit because equity is contained in the economy itself. This eliminates risk. Private pools of capital subject to the risk of default limite progress. Third Earth does not let poverty become a barrier to the free flow of credit.

 

 

revised  October 13, 2013


Why Poverty Is Not A Problem For Third Earth