Business and Finance Analysis

Posts Tagged ‘The Future of Money’

The money we have, according to the author, is a partnership between a country and the banking system. The money seen from the physical is only a trade, you change an impression on a paper about something you want, that you want to have a value and that value is reflected in this piece of paper. All speaking in very simple language. But the money never really ours. Then extract the text of the book.

“The money never really belongs to us, as we own eyes and hands, or the car and the house – when we finish paying them. “Our” money is like “our” marriage per se, the agreement involves another person (husband or wife). The modern money is also an agreement between two parties. It is only an asset for us because at the same time is a passive pair someone. ”

I hope that at this point to feel concerned about it. In the next post we’ll see a bit of history of money, but only the fun part, like to really know how banks were established, economic systems and money.

By the way I invite you to become curious and eager to keep the next installment in the following years.

1) Walk through your city and see the banks, especially the older ones. What do you look these big banks? Do not see modern banks, see beyond the size, go directly to their structure and architecture. If you are in Argentina go to the National Bank which I think is on the corner of Avenida Santa Fe 2100. If I remember it was shaped like a “temple.” Perhaps banks have to do with the temples.

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You know, really, what is money? Do you know how to create the same?

Surely many may have a vague idea, but will feel really amazed at the complexity of the issue. At the time I also did a little definition or answer to those questions throughout the book I realized it really was a total ignorant about what I thought I knew.

With this last expression I leave a short “snack” on the money, I mentioned the concept of “thought he knew” and there precisely lies one of the main problems of money paradoxical.

The money is “a belief based on another belief” that simple piece of paper or coins is simply a belief on our part that we believe that for others is important. I propose a short exercise to better understand what I just mentioned:

Suppose you because of a plane crash ends up as a castaway in the middle of a desert island. Already for a few days began to despair, is just that even Wilson (friend of the famous ball in Tom Hanks movie “Cast Away) can help. Suddenly the water floating currency in two suitcases that happen to be yours.

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A few days ago I wanted to comment on the book I’m reading now, but the times I have been quite complicated. Fortunately and apparently troubled times and have somewhat subsided.

The book that I read today in my free time is called “The Future of Money” and the author of it is Bernard Lietaer. In this post I will talk a little about it and expose details that so far I found extremely interesting, especially the little stories or comments that are in between.

In itself the book had a major effect on me. I remember being in a bookstore looking for something interesting to read and I found it. Usually books qualify for the description of its back and even through a brief introduction, but I must stress that this is the first book from the prologue where I’ve been attracted to keep reading.

Above all it shows in small events as mentioned earlier various crises that have happened in the world and highlights the case of Argentina as one of the pioneers in this series of crises to come.

The book itself says three promises that are really interesting:

1) We understand the true role of money in a clear and simple language that anyone can understand.

2) We may answer questions such as why we have increasingly less time and money? Why are people obsessed with money? Why is increasing the global currency turbulence? Why scarce productive work? Among many others.

3) discover that there is another way to deal with the global economy and where each of us can take part (and we should be) for it.

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