Simple Definition of Money
Something generally accepted (agreed value) as a medium of exchange, a measure of value, or as a means of payment.
History of money over the years
Money in and of itself, is nothing.It can be a shell, a metal coin, or a piece of paper with a historic image on it, but the value that people place on it has nothing to do with the physical value of the money.
Money derives its value by being a medium of exchange, a unit of measurement and a storehouse for wealth.Money allows people to trade goods and services indirectly, understand the price of goods (prices written in dollar and cents correspond with an amount in your wallet) and gives us a way to save for larger purchases in the future
EXAMPLE: Barter 3000 years ago.
Money, in some form, has been part of human history for at least the last 3,000 years. Before that time, it is assumed that a system of bartering was likely used.Bartering is a direct trade of goods and services – I’ll give you a stone axe if you help me kill a mammoth – but such arrangements take time. You have to find someone who thinks an axe is a fair trade for having to face the 12-foot tusks on a beast that doesn’t take kindly to being hunted. If that didn’t work, you would have to alter the deal until someone agreed to the terms. One of the great achievements of money was increasing the speed at which business, whether mammoth slaying or monument building, could be done Read more: The History Of Money: From Barter To Banknotes | Investopedia
GLOBAL DEBTThis is the gross GOVERNMENT debt , this means the amount of money (the repayment value) owed by a government today calculated according to the SDDS 2014 and The Maastricht Treaty guidelines.
The trillion dollar question is…. to who? Who is the global economy paying interest to? The bank of Mars? Venus? How can the world be in debt as a whole?
FACT 1: The Global debt clock (click here) shows that the WORLD is 61 TRILLION dollars in debt…..
Here is a Simple Definition of Debt
: an amount of money (agreed upon exchange in value) that you owe to a person, bank, company, etc.
: the state of owing money (agreed upon exchange in value) to someone or something
: the fact that you have been influenced or helped by someone or something (Time, energy, resources)
Global InterestConsidering the world is in debt? surely there is an interest that needs to be paid on that debt? In the same way that we get a mortgage or credit card loan.
FACT 2: Each minute the world pays $4million per minute in interest on the 61 Trillion dollar debt?
NATIONAL DEBTSo the world is 61 Trillion in debt as a whole, paying 4 million in interest per minute. So where do we stand as individual nations? Do any countries carry no debt? and which countries are the “richest” relative to all the factors?
FACT 3: There are only 5 countries with NO DEBT
Macau of China
FACT 4: Here are the world’s 6 RICHEST Governments?
China > National reserves: $2,454,300,000, 000
Japan > National reserves: $1,019,000,000, 000
Russia > National reserves: $458,020,000, 000
Saudi Arabia > National reserves: $395,467,000, 000
Taiwan > National reserves: $362,380,000, 000
India > National reserves: $279,422,000, 000
FACT 5: The average Australian Household is $250,000 in debt
Using Australia “the lucky country” as an example.
Average Australian household debt is four times what it was in 1988, rising from $60,000 to $245,000 after inflation. The ratio of household debt to disposable income has almost tripled, from 64% to 185% during the same time.
If we go back to the Initial paragraph, money is an agreed upon exchange in value
- So are we simply living beyond our means?
- or are we making poor financial decisions? and poor agreements on what an exchange should look like?
Fact 6: If you have no debt, positive cash flow, a roof over your head and food in the fridge. You are part of the worlds 2% Elite. Congratulations.
Simple Definition of MoneySomething generally accepted (agreed value) as a medium of exchange, a measure of value, or as a means of payment.
History of money over the yearsMoney in and of itself, is nothing. Money derives its value by being a medium of exchange, a unit of measurement and a storehouse for wealth.
6 facts on Debt
FACT 1: The WORLD is 61 TRILLION dollars in debt….. FACT 2: Each minute the world pays $4million per minute in interest FACT 3: There are only 5 countries with NO DEBT FACT 4: 6 of the RICHEST Governments are not the ones you would expect. FACT 5: The average Australian Household is $250,000 in debt FACT 6: If you have no debt, positive cash flow, a roof over your head and food in the fridge. You are part of the worlds 2% Elite. Congratulations.
This leaves us with 3 important questions
1) So who’s in debt to who?
Personally we are in Debt to companies, markets and governments? Companies and markets are in debt to each other and the government? The governments are in debt to each other? And the governments are in debt to the world? So who is the world in debt to? Mars, jupiter, the moon?***** Here in lies the Trillion dollar question…….
2) What is money and does it even exist?Imagine that Every single person in the world withdrew all their money form bank, empty their account. (only cash) what will happen? does bank have enough money to pay? I bet they don’t. Most people think money is finite. Meaning there is a limited amount of wealth in the world. This gives rise to the idea that for some to be rich others have to be poor. Basically, if a few people own 90% of the pie, then everyone else has to live off of the crumbs. Which doesn’t seem fair at all. And they are right. That wouldn’t be fair! Fortunately though, this isn’t how the things work. This understanding of money is fundamentally flawed. And it keeps people poor (rather than helping them). What most people don’t realize is that money doesn’t exist. It isn’t real. I will prove it to you. (CLICK HERE)
And once we realize that money doesn’t exist, we can end world poverty.
3) Can we create a more equitable and fair system?
“We cannot solve our problems with the same thinking we used when we created them.”~ Albert Einstein