Icxypion wrote:As for Usury, I am in complete agreement. It is interesting that, from what I hear, islamic countries have banks that are forbidden to loan on interest. Usury I have heard is not allowed in islamic countries, not even the national banks do this. So, obviously Banks can survive and the economy function well without the evil of usury.
They simply charge you interest rates in an alternative way! Instead of lending you 100 to buy a car and you'll pay back 110 (the interest), they buy the car and sell it to you 110. IN England, on king expelled the Jews and since interest was forbidden for Christians they established 0 interest rates BUT the loan was granted for a short period of time in which both parties knew it could not be paid back. Since the payment occurred later, the debtor paid penalties for being late and these penalties were in fact a way to hide interest rates. I know of no developed economy where there are no interest rates (official or disguises Anyway, economically speaking interest is logical: the one who lends money renounces to enjoy such money, interest is thus a compensation for this loss. Even in a no inflation situation, anyone would prefer to receive money today rather than the same amount of money one year later (even if it is sure to receive this future money: present money has more value than future money).The difference between both is the interest rate.
