... yeah, but it does things.
buy happiness.
Where certainty reigns, questions need to rise.
Stability , security, and the illusion of having substance.
While the value we attribute to money is entirely made up, the effects it has cannot be denied. It just does things. Below a certain threshold it makes your life hard, then up to a point it makes life easier, from then on it doesn’t really matter and turns more into an end in itself. More will be more but still too little.
But the more there is the more it does. Your will projected onto the world.
Chase it. Use it. Multiply it. Purchasing Power.
But watch out, the economy will rid you of your value.
Inflation is a bitch - until you own enough (wisely invested) money for it to become your best friend. Own some assets and “number goes up” turns into a good thing. Inflation on its own steadily raises the bar of overcoming poverty - by ideally 2% per year, realistically (and currently) a little more than that.
The problem lies in the relation that percentage measures.
2%. 2 percent. 2 out of 100.
2 out of those 100 parts will be added to the existing 100.
The old total of 100 will be adjusted to 102.
And those 102 now equal 100% - the entirety of money.
So 102 = 100.
From now on you’ll need 102 parts to still have 100 parts.
And that happens every year.
Then, next year those exact 2% turn into 2,04 parts that will be added to the 102 that make up the 100%.
So, in two years 104.05 parts = 100 parts.
And if you continue compounding yearly percentages with a steady 2% you’ll need 121.9 parts after 10 years to equal the 100 parts you had before.
Play around with some compounding interest.
It’s shocking how percentages stack.
Some argue that happens “for good reason”, and they might be right.
But inflation’s not always at 2%.
And inflation is the rate at which prices rise. It’s up to you to figure out how to make more money year after year to stay evenly at 100. Or even exceed it.
Rising prices benefit the ones that already have.
<insert Red Queen’s Race quote here>
Money’s the projection of the will you’re able to force onto the world.
At least it’s a decent part of it. Money. Resources. Influence.
Everything’s capital in the eyes of the spender.
Another example, maybe:
Let’s say my net worth is $1200.
I buy a subway ticket for $2.9.
I’ve spent 0.24% of my net worth.
Now, let’s say my net worth is $3.9B. (a quite reachable number these days)
I spend $9.4M on an ad campaign.
I’ve spent 0.24% of my net worth.
Same amount of net worth spent.
Drastically different effect.
Money isn’t stupid. And having it is not a sin.
Neither is chasing it.
It all boils down to what we do with the resources we have.
Who benefits from us having more?
Us? Ourselves? Someone else?
The country? The economy?
Other people?
Should the strong look out for the weak?
Or not?
Should more be more be better?
Should giving be worth more than taking?
Lots of questions for this day and age.
It’s not bad having security - or at least the illusion of it.
And it’s not bad being able to have an impact on the world.
Just, which impact are we gonna have?
And what does that impact cost?
With all that being said, we should never forget that despite all the effects money has in the physical world, it is still inherently worthless.
If you’re interested in some charts:
<Mario voice>Here you go. </Mario voice>
This is Chris speaking:
Attention is scarce. You shared some of yours - thank you!
This was a Counterpoint for this month’s Flagship Essay MONEY ≠ VALUE.
Other than that: Further reading is mandatory, but not enforced.
Thanks for considering to Buy me a Coffee! ☕️
