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Japan Cash Balance pension plan!!

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If those specs are correct, I’d call it a Ponzi scheme

If you're the first out the door, that's not called panicking

Codtrawler87 wrote:
If those specs are correct, I’d call it a Ponzi scheme

If it’s Japanese, it’s more likely a Ponzu scheme.

Simplify the complicated side; don't complify the simplicated side.

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aren’t we all in the ponzi scheme? banks get $1 from dept of T and lend it out 10 times of that money.

Be yourself. The world worships the original.

here is a summary of the US and modern banking system…

I build an office building and sell it for $1MM. I deposit this into my bank, Bank of Greed.

Julie comes along and wants to open up her bakery but needs $1MM to build it. She goes to Bank of Greed and gets $1MM loan. 

Julie is smart so she comes to me and I build a bakery for her for $1MM. She pays me $1MM. I deposit this $1MM to Bank of Greed.

But I have change order of $1MM and Julie gets more loan and pays me the extra $1MM.  

I have a total of $3MM in Bank of Greed but the bank only has $1MM in actual cash amount. Bank of Greed can do this 8 more times or 10 times in total.

Ponzi? no…but similar? you bet. It is all built on trust- trust that we will grow and prosper. Julie must grow and prosper for Bank of Greed to be solvent and for me to have “access” to my $3MM. Of course, the banking system is “diversified” amongst hundreds of millions of people and hundreds of billions of transactions

Above is from a book, Sapiens

Be yourself. The world worships the original.