The issue of increasing private and government debt to banks is a major
concern after the financial crisis of 2008 (see Figure at link given below). In order to
understand why our society and government is increasingly indebted to banks we
need to understand how our current money system works and why we need a
continuous infusion of new money in a growing economy. “Why We Are Increasingly
Indebted To Banks?” investigates the reasons behind this and suggest a possible
solution.
The model construction process is actually a balancing loop which endeavors to employ an abstract version of real events to form a model which produces conclusions and behavior which mimic the real events.
When one undertakes to create a model there are a number of guidelines that are considered essential for consideration if there is to be a success with the model.
Based on 1990 SDR Article. Control systems act to make their own input match internal standards or reference signals. Competent control systems create illusions of stimulus response causality. Stimulus-response theory can approximate the relationship between disturbance and action, but it can't predict the consequences of behavior. These consequences are maintained despite disturbances.
