Advertisements

Again a thought about what money is and what it represents (30-04-19)

I suppose what money actually end to represents is a store of value. We may store it in a form of currency or gold or stamps. While like paper currency it can be printed but why the value would drop because it has just diminished the initial value which when the payment is made. Just think about this. You worked at job for a year in 2010 and you just earned 50000 dollars. Every year the price of goods would go down by 2% of increased supply capacity aka productivity aka increased money value of 2%. The value of your money would go down by 5% due to increased money supply aka inflation. Every year you suffer a net loss of 3% a year. Over 10 years you would have lost 30% of ur savings. Money that is earned through the free market aka voluntary exchange is the presentation of the contribution of the individual or group towards society and what acts as an iou of society. Not the other way around which is often represented. Which is those who have earned from society ought to give back more. Many times this question is asked. How free is it for the homeless the poor the helpless. The unfortunate answer is no one owes u a living. You do not have a claim on someone else’s property because you lack it or need it. Freedom comes with the responsibility of also fixing your own problems be it of no fault of yours.

Advertisements