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Understanding Money

beebee
edited November 2011 in Off-Topic

Comments

  • Hi bee,

    Thank you for the link.

    Here is an interesting read; a book still upon the shelf at this house from about 30 years ago.
    http://www.gutenberg.org/ebooks/6949

    Take care,
    Catch
  • Hi bee- thanks for this info. I have already skimmed the first few pages, and it looks like your info will provide the second stage of what I was looking for in an earlier post, where I was asking for help on determining what, exactly, constitutes "wealth", with a specific emphasis on two major transition points: first, the transition from barter to coinage, and then the following transition from coinage to "printage".

    Investor provided a good reference for the first: "The Power of Gold: The History of an Obsession", which confirms my suspicions that gold is in fact pretty worthless for most practical use, unless you think that it's pretty and happen to want some.

    Your paper looks like it will take care of the second. Just one quick excerpt from your paper:

    "Governments should be actively involved in regulating and helping build the
    infrastructure within which the private sector can generate economic growth. The
    economy is a complex dynamical system with irrational participants. It cannot be
    expected to regulate itself or behave rationally at all times. Therefore, some level of
    government intervention and involvement is not only beneficial, but necessary. Ultimately, it must be the private sector that is the driver of economic growth. While government can aid in this process it cannot be expected to be the primary driver of innovation, productivity and growth."

    Starting from that self-evident (except to our current congress) premise, I feel pretty confident that Mr. Roche's paper will prove to be valuable to my quest for knowledge in this area.

    Thanks again! OJ
  • FYI. The author's blog site is at: http://pragcap.com/
  • Reply to @catch22:

    Thanks for the suggestion Catch...look forward to the read.
  • Reply to @Investor:

    I believe I first learned of this author from your suggestion...thanks!
  • Reply to @Old_Joe:

    Hi OJ,

    I also agree with the author that the dynamics of fiat currency is counter intuitive to most Americans. This is dangerously true when these Americans are the ones we have put in charge of our country (congress) and those responsible for enlightening the populace...(public educators lack of financial literacy).

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