Money (the other thread got me thinking)

I really do not understand how the concept of money makes any logical or rational sense. I mean, basing the world's entire value system (I do mean to imply metaphysical as well ) on something because it is shiney, and uncommon just seems bizarrely stupid to me.

Sometimes I feel like I'm missing something. It really bothers me that I seem to be in the minority of not understanding this phenomena. I cannot accept any hierarchy put in place by the same people that accept this notion of "value."

 

Back in the day, money was given a value by how much of gold or silver or whatever was in it. Now it's not really basing the world's value on something shiney, but more so keeping a record of how much each person has earned and worked for, and how much whatever they've worked for is worth. The material a Canadian dollar is made out of is worth like 17 cents, however since it's legal tender, it can be accepted for more.

 

Money makes it easier to buy and sell goods. Without money... If you wanted to buy a cd, you would have to give the seller something, but if the seller doesn't want anything of yours, then your screwed. For example, 1 cd could be worth 10 loaves of bread, or 6 gallons of gas, or a case of beer if there is no monetary system, and it would be really complicated to remember all of the trading rates. With money, it is easier to place a value on things, so a cd is about 15 bucks.

 

those shiny things don't have value, they simply represent value. You couldn't take any shiny bit of metal and pass it as currency, the coin or note itself is purely a globally acceptable representative of the ownership of wealth. Imagine if we were still in the day of trading and bartering, don't you agree that it would be easier to trade some cash to the stores instead of taking your 28" widescreen TV with you?!? I agree that the money itself has little or not material value and that the economy is very fragile, but what do you suggest?

 

i have just realised that those 'shiny things' that you speak of most probably refer to gold, diamonds etc. If people had started using lead and glass as an indicator of wealth, you would need a fuck-load of it to seem slightly rich, as they are so common. That fact that the rarer 'shiny things' are so hard to obtain make them a more appropriate indicator of wealth. Do you think that anyone would give a crap about their gold ring if their car was made out of the stuff?!?

 

Since we're working together here and not all going out and finding our own food etc. we have to have a way of keeping track who has contributed what to "the group" (society is the group, it's just a huge group).

The currency doesn't have to be shiny, it can be anything, what matters is that *everyone agrees on what it is*. Some tribes in Africa or Australia use objects like shells for money, and as long as everyone in their group agrees on it, then it becomes valuable.

There is always a balance in the transfer of energy in this world, and money often represents that. If you do something for someone else, you expect SOMETHING in return, and vice versa. If you want someone to give you something, or to do something for you, you have to give them something first. Often that thing is money. (but it can be many things, depending on the individual. Try making someone smile sometime and watch how much more likely they become to do a little somethin' to help you out)

Money's just something we've all agreed on is a valid thing to trade for other things. (goods, services, or the right to use a certain space, like land or your apartment)

 

You know this can go in a lot of different directions, money is not the only think misunderstood but also, diamonds, coal oil ect. They only reason they are of such high value is because someone way back in the day decided so. Sorry I could go on but I'm tired, and sick and sick of all this shit.

 

Haha, it was more of a sarcastic question. I understand how money works, economic principles, etc.

What I was getting at is that gold has VERY VERY little practical use. There are far more uses for diamonds (though those did not come about until relatively recently in modern history, so that is almost equally as absurd). It is absurd to equate subsistence to something with NO value to survival.

 

Well, the demand and the scarcity give these things value. people want rare things, cause theyre selfish. personally, I think its pretty shallow to wear jewelery, make decorations, etc from 'precious' metals and stones. The money you waste on trying to show off your wealth could be spent on much more worthy things. Decorating your body or anything else doesn't require those rare materials.
And i don't think it's necessary for money either. money just represents. it can be made from anything.

 

We live in a capitalistic society. It would be a groovy world if everyone just had what they needed and such was based on the honor system.

 

Okay folks, Here's the scoop. Gold and gems are valuable because they have high mystical properties. Gold is the highest transmitter of electrical currant, and was used by many ancient civilizations such as the Egyptians, the Mayans etc. to transmit energy. Gemstones such as Diamonds, Rubies etc, were used to focus and send that energy. Much like they do in lasers today. Got it?

 

value comes from demand and supply ratio. it means absolutely NOTHING what the demand is for, merely that there is a demand. with humans, demand can come from merely having little supply. (think about all the collectors who collect useless but rare limited edition junk, merely caus its limited edition)


you dont have to agree with these principles in order to understand them.


gold has a lot of special conductive properties, as mentioned. however it also simply looks nice in a ring. since jewelry is mostly a status thing rather than a looks thing, people desire more expensive jewelry simply caus its rarer and means youve got more worth if you have it. because, as far as looks go, you wont look much different wearing 9 karat gold with diamonte's compared to 24 karrat, pure diamond ring. if you have the latter however, it makes you more individual caus its rarer. a lot of people need these things to feel that they have worth in life, and its those people who largely make the world's economy meaningful.