The Effect of the Interest Rate on Income

The first person who gets their money, that new money, will be able to go spend it at the current level of prices. But that's income or that's a that's purchasing power that he wouldn't have had otherwise. Because he only took on that debt because the interest rate was lower. And then everything unwinds, the deleveraging occurs, and the crash happens, the bust. That's the boom bust cycle as a result of the money supply increasing and then shrinking due to the manipulation of credit of interest rates.