Do you enjoy reading sensible books?
For me such reading replaces many temptations. The book "A Brief History of Money, or Everything You Need to Know About Bitcoin" by Seifedin Ammous, professor of economics at the Lebanese American University, is one of those books that you start reading and can't stop reading.
In my theory of financial success, you have to learn something new about money every day in order to have money. That's why I read daily. The puzzle is coming together!
The book "A Brief History of Money, or Everything You Need to Know About Bitcoin" is more about how the economy works, bitcoin is here to hype. This is how you can see that the author is writing a serious classic economic work and adds in places, to be on trend, "and bitcoin".
From this book you can catch the principle of how economics works. In a nutshell, it boils down to an experiment with... marshmallows! Yes, yes, this is the famous experiment where children were offered a choice: either a marshmallow now, or two, but later. This experiment on children explains our economic universe. Those children who delayed their consumption of sweets did better years later. They became richer than their impatient peers.
Humans fall into two categories. Some are creatures of irrationality who take out loans to consume right now. Others are investors, setting aside a portion of their income for more opportunities in the future.
Who are you in this world, an investor or a consumer?
All would be well in the economics of the world if our minds were not caught up in the version of reality that was set by the English economist John Maynard Keynes (1883-1946) through his writings. He was born into a wealthy family and didn't realize what was behind his wealth.
behind his wealth (the accumulated labor of his ancestors). Keynes only observed the Great Depression in the US in 1929 and concluded that it could have been avoided if the government had increased the money supply and raised spending.
His mantra was "The more spending, the better!". Since then, this idea has permeated the gut of the world's central banks. And now they are busy printing unlimited amounts of money and "throwing it around from a helicopter".
What does that mean? When unsecured money is thrown into the system with impunity, created out of nothing, it thereby devalues the savings made in it!!!!!
What is the point of making savings if they are eaten up by inflation and can be borrowed at 0%?
In today's economy, the experiment with marshmallows means that a child who gives up marshmallows now, postpones consumption, will get only half a marshmallow in the future. Is there any motivation then?
With the printing of money, governments around the world have taken control of the population. They now decide the fate of our money.
In the past, when payments were made in gold, people could be financially independent of governments. Gold is a hard currency. It can't be generated on printing presses, you have to at least blow up stars in distant galaxies (gold, like other metals, is the result of such incredible explosions,
the products of which are delivered on meteorites to Earth).
According to Seifedin Ammus, calculations in gold were a golden age for civilizations. The shift from the gold standard to the issuance of money led to constant crises and the insane world system we live in. Just think that we need to keep track of currency rates for some reason! Our purchases and vacations abroad depend on their values. The currency exchange market
is worth trillions of dollars. Banks live on the commissions from this, so it is not profitable for them to have one centralized currency in the world in the form of a gold standard (or bitcoin).
Printing money is destroying marriages! It used to be that the family provided resources for its members, children took care of their parents.
"Politicians have instilled in us the false belief that eternal prosperity and high pensions can be secured by turning on the magic printing press, so contributing to the family is becoming less popular. Over time, the incentive to start one disappears and more and more citizens end up
single. Marriages break up more often, because partners are not always ready to invest emotional, moral and financial resources into family life.
Even in prosperous and complete families, fewer children are born. The well-known phenomenon of modern times - the crisis of the family institution - cannot be minimized fully explainable without taking into account the role of fiat money, which has allowed the state to appropriate a number of essential functions previously performed by the family and has virtually taken away the incentive for citizens to invest in long-term family relationships."
Economics as a science was destroyed by the ideas of Keynes, who called for spending at any cost, while he himself led an obscene lifestyle (traveling to Tunisia for boys).
World wars are also connected, according to the author of the book, with the printing of money. If governments relied only on their real money reserves, wars would end quickly, but when you can print as much money as you want, and payback in the form of hyperinflation will come later, you can have a war.
"From a Keynesian perspective, spending is spending, and it doesn't matter who spends the money and on what: the citizen to feed his family or the government to exterminate the enemy. The main thing is that aggregate demand is created and unemployment is reduced! The population starved due to economic recession, while the governments of the major powers devoted enormous resources to armaments. The result, as thirty years ago, was senseless bloodshed."
Economists are lying to us because they profit from the system. Economics textbooks contain fake data that contradict reality. The solution is a return to hard currencies (or bitcoin).
What does this mean for us? We need to understand the structure of the world. That money paid to people who work can depreciate in value at any time. Governments steal people's savings when they devalue their money.
This first type of money (the one we are all familiar with) is needed to serve immediate needs. Other money is the kind that retains its purchasing power over time. Therefore, don't keep your money in cash.
Invest. save and invest.
You get the point? Some people are like squirrels in a wheel, working, consuming and not thinking. And then, like madmen, they take out loans. Others put off their desires for later, invest time and money in the development of technology, and then, over time, reap the benefits.
I recommend the book "A Brief History of Money, or Everything You Need to Know About Bitcoin" by Seifedin Ammus. There is a chapter on bitcoin and its role in the world.
