Everybody wants it. It brings us cars, homes, food, and pleasure; but, few actually know what it is. It’s made of paper or mined minerals. Sometimes it’s dirty and torn. Yet, as long as it’s recognizable it still holds value. My question has been “how” and “why” is this so valuable and desired?
Money has taken several forms throughout history. Each of its forms, though sometimes ornate, is less valuable than what it represents. When it becomes more valuable than it’s use, it is discarded for a cheaper replacement like e-currencies. This is done because it represents only one thing… Trust. Trust in what? Well, this is where it starts getting fuzzy for some. Literally, it’s trust in our own ability to produce productive work and share it.
More questions, how do we know if work is productive? Well, it all boils down to the ethereal concept of capitalism. Yeah, I can hear the jeers from here. “Capitalism is just corporate greed.” has been shouted for years. However, what does capitalism have to do with the value of money? “True Capitalism” is the sorting and establishing of productive work; and, productive work is the value of any and all money. When we do work that someone else wants, this is the definition of productive work.
If you understand these principals then wealth is in your grasp. Monies are a place holder for work or labor. Economies gain power by diversifying and expanding their applied combined labor. Ants demonstrate this well. One ant isn’t much of an army but a whole colony of ants can be lethal.
Most people struggle with the idea that the pile of cash they control only has value if someone is willing to trade productive work to get it. When I do work, and someone likes it, they give me a “marker”. This “marker” is known as money. I can then trade this “marker” for someone else's work efforts. The more people I productively serve the more “markers” I can acquire to apply to work I may still need from someone else to be completed in the future.
Now, hypothetically, let’s say a government started making more “markers” then they need to cover everyone’s work. This is called inflation. This dilutes the value of each “marker” with each unneeded “marker” produced. When this happens the value of labor grows weaker in value until the market catches up and corrects it’s self.
Which brings us to taxes. How do taxes work? Taxes aren’t a form of capitalism. This wasn’t always the case. At one time taxes were voluntary. However, with the 17th amendment the 10th amendment lost the power to protect us from direct taxation from our government. Even here, the 16th amendment was voluntary until the 17th amendment was theoretically ratified (the jury is still out on this). Since taxes are mandatory now they decrease the value of money. The work they do is questionable as to it’s “productive work” attribute. And more and more work effort is siphoned off as laborers attempt to out pace the demand for free labor from the starving masses.
“Give a man a fish, you feed him for a day. Teach a man to fish, you feed him for life.” When you teach a man to fish then take away his fish to feed another man… can you see how both men starve? And, while your at it, print yourself some more money while the people don’t realize they are just pawns in your power hunger.
The real value of money is working with your local neighbors toward establishing a local economy that lives within it’s means. If the governments fall and economies crash, we then retain the power locally to the people to feed, house, and clothe ourselves despite efforts to the contrary.