The Economics of Vampire Bats: Lessons for Human Financial Systems



Number of words – 275

Many animals cooperate effectively, and a few even give loans. The most famous lenders in nature are vampire bats. These vampires congregate in their thousands inside caves, and every night they fly out to look for prey. When they find a sleeping bird or a careless mammal, they make a small incision in its skin, and suck its blood. Not all bats find a victim every night. In order to cope with the uncertainty of their life, the vampires loan blood to each other. A vampire that fails to find prey will come home and ask for some stolen blood from a more fortunate friend. Vampires remember very well to whom they loaned blood, so at a later date if the friend comes home empty-handed, he will approach his debtor, who will return the favour.

However, unlike human bankers, vampires never charge interest. If vampire A loaned vampire B ten centilitres of blood, B will repay the same amount. Nor do vampires use loans in order to finance new businesses or encourage growth in the blood-sucking market – because the blood is produced by other animals, the vampires have no way of increasing production. Though the blood market has its ups and downs, vampires cannot presume that in 2017 there will be 3 per cent more blood than in 2016, and that in 2018 the blood market will again grow by 3 per cent. Consequently, vampires don’t believe in growth. For millions of years of evolution, humans lived under similar conditions to vampires, foxes and rabbits. Hence humans too find it difficult to believe in growth.

Excerpted from Page “239” ‘Homo Deus’ by Yuval Noah Harari

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