Can our society continue to sustain itself?

Okay, I may do a really bad job of explaining what I mean. Also, in order to understand what I mean, you MUST think about thinks on a very broad basis, completely ignoring seperate companies as seperate entities for the sake of this thought. Yes, some businesses will do well while others fail.

Here's the thing. In order for our semi-capatalist (we do, though some would not like to admit it, have some strong socialist concepts governing the way our lives are led)society to work, the majority of the people in such society must be consumers. In order for people to be consumers, they must have an income. Even those that are dependant upon others (such as family) have an income provided by someone.

So, let's think of this in three entities.
-Government: A pretty simple concept- the entity which governs and watches over our lives.
-Companies: In order to understand the argument I am trying to make, we must think of the companies as a single entity, "the companies", rather than each individual successful or unsuccessful company.
-Consumers: For this to work, consumers must have an income. Thus, most consumers are employees of companies, or dependants of employees of companies. There are, of course, consumers that are dependant on support from government as well, but we will focus more on those that depend upon income from companies.

Let's say that companies, in general, recieve money from consumers for their goods or services. While I realize that this is a very low amount, but let's say, for the sake of example, all companies recieve $100 from their consumers. Scaling the operation down will let me explain this better.

In order to make a profit, the companies can NOT give their employees anywhere near the amount of money they recieved from consumers. Across six employees, they pay $60, giving each employee $10.

These employees become consumers. In order to live a "successful" life, they cannot spend nearly as much as they made. Thus, each consumer spends $4, putting it back into the economy and saving the rest.

$4 x 6 employees = $24.

$24 has just been put back into the economy, or the companies, in comparison to the $100 they received before. Even with the $40 profit the companies made before, that is only $64, and they must now pay the employees- the consumers- out of that amount. This does not even begin to compute taxes that affect and reduce the amount of money involved in each transaction.

Even if we scale these amounts to trillions of dollars and millions of employees, the concept of how our society works remains the same. Consumers cannot put nearly the amount they make back into the economy. Thus, the economy would normally be under a constant and heavy decline.

So, how does our society sustain itself? From what little research I've done, as far as I can tell, it has a lot to do with banks. Banks can actually loan more money than actually exists. Of course, there are legally-enforced guidelines on exactly how much they can loan out. As long as our society accepts such loans as real money, our society can continue to work. The legal guidelines to how much a bank can loan actually help to prevent a severe depression. These guidelines were developed after the Great Depression, shortly after the U.S. Governments was forced to seive all gold.

For now, these loans should help to sustain our society, but how long will this last? How long until banks can stop giving such loans due to poor economy?