Re: AI understands time value of money
I was agreeing actually.
If the loan term is 200 years, then the risk is very high. It would be very hard to secure a loan over this term, much less at the rate of only 5% every 20 years (0.25% per annum).
But even at the much higher rate of 5% per year, it would be hard to justify a loan with a twenty year payout when your human opponent is busily manufacturing tanks and has expressed a desire for world domination.
I mean would you give a loan to this man:
Originally posted by Big R
I agree that the ANNUAL interest rate would be much lower, but I'm comparing apples and apples:
I agree that the ANNUAL interest rate would be much lower, but I'm comparing apples and apples:
If the loan term is 200 years, then the risk is very high. It would be very hard to secure a loan over this term, much less at the rate of only 5% every 20 years (0.25% per annum).
But even at the much higher rate of 5% per year, it would be hard to justify a loan with a twenty year payout when your human opponent is busily manufacturing tanks and has expressed a desire for world domination.
I mean would you give a loan to this man:
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