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Debt's vicious cycle illustration: A flow diagram of a vicious cycle starting with needing cash, to taking a loan and then hitting a cycle of paying interest, lower cashflow, needing cash, increasing loan and so on.

Debt’s vicious cycle

Debt's vicious cyle—a flow chart that illustrates how those in need, who needed to borrow, can be hamstrung by the interest they need to pay back, giving them less money to work with, needing more cash, increasing the loan, paying more interest and on.

The reverse scenario is the positive cycle of "the rich get richer" or "money begets money."

Hat tip: Avraham Byers.

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