Monday, May 18, 2009

>> A solution to the Global Financial Crisis



In a small town on the South Coast of France, the holiday season is in full swing, but it is raining so there is not too much business taking place.

Everyone is heavily in debt.

Luckily, a rich Russian tourist arrives in the foyer of the small local hotel. He asks for a room and puts a Euro100 note on the reception counter, takes a key and goes to inspect the room located up the stairs on the third floor.

• The hotel owner takes the banknote in a hurry and rushes to his meat supplier to whom he owes E100.
• The butcher takes the money and races to his supplier to pay his debt.
• The wholesaler rushes to the farmer to pay E100 for pigs he purchased some time ago.
• The farmer triumphantly gives the E100 note to a local prostitute who gave him her services on credit.
• The prostitute quickly goes to the hotel, as she was owing the hotel for her hourly room used to entertain clients.

At that moment, the rich Russian comes down to reception and informs the hotel owner that the room is unsatisfactory and takes his E100 back and departs.

There was no profit or income. But everyone no longer has any debt and the small town’s people look optimistically towards their future.

Could this be the solution to the global financial crisis?

Source: Unknown


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1 Comments:

Blogger Saket Prabhakar said...

This is one of the most beautiful examples i have come across in this time of Financial Turmoil.

I have few things to add...

1. Yes, this can be a solution provided we dont have to pay for any essential service.. imagine the tax man standing just after the tourist ready to cut 10 Euro for the room...!! .. So, thats still sundry payments in Outstanding column.. so we till have debits to pay..

2. Also, no money spent to give the money.. How can that happen.. only if we are not paying for gas, or everyone has a shop next to each other..

3. What was appreciation and depression of money...

4. Its okie to summarize all with a single 100 Euro bill, but what if every one owns a diffrent volume of money.. that case would be more tricky.. isnt it :).. the balance of creadit and debit may o either ways..

I know this was humorous.. but lets think side ways.. and not linear..Its difficult times and desperate time needs desperates measures..

Cheers,
Saket !

July 12, 2009 at 3:32 AM  

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