Well that's just not true. Last season's transfers certainly weren't funded by player sales, since you spent way more than you received. Liverpool have plenty of money as a club, but by using it retardedly they've made a complete hash of it.
Oh god don't perpetuate this myth. The likes of Papiss Cisse and Yohan Cabaye were well known quality players, the former having been scoring buckets in the Bundesliga and the latter being instrumental in Lille's run the to French title as well as a nailed-on French starter. Tiote was the only real 'unknown', and even he was had helped Twente to an Eredivisie title whilst playing in the Europa and Champions League.
That's fine to say, until you look at the startling regularity with which Liverpool's transfers have failed over the past three years, and expensively too. Cole, Carroll, Poulsen, Adam, Aquilani and Downing, all of them expensive through either wages or transfer fees (or both) and all of them failures to a man. The only transfers that have really been any good have been Suarez, Shelvey, Coates and Allen, and two of those were relatively low-risk, cheaper youngsters to build for the future with.
I don't blame FSG for not investing too much more money into transfers for Liverpool. Your scouting system is shocking, and the club is a money pit where transfers are concerned.