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Investing 3: Smooth Spending & The 401K
Planet Money Summer School
E Miglo - Is He a Banker?
E miglo does this all the time. He's lending out money in tiny amounts for short periods, maybe 20 or 30 bucks. In a key way, he's solving the same problem that the entire financial system is designed to solve. Economists call it consumption smoothing. The times we get money don't always line up with the times that we need money.
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