I started writing down some of my thoughts about money last night, and I realised that just like my other threads of thought, my thoughts on money are rudimentary. I am no economist, but I do use money, as do most people around me, and therefore, each and every one of us is in the position to think about what it represents to our lives. I will start off this series with just a few thoughts, which I hope to build upon in the coming weeks.
We feel that money is a good representation of our value to society, and the value of society. The government feels that as long as the pot of money in our country continues to grow, this is good thing. But while those that earn a lot of money may be nice people, just because money exists somewhere out there, and is continuing to grow, doesn’t mean anything for those that are continuing to face continued degradation – the poor, the environment. What has Wall Street done for you lately? On the other hand, what has the ever-present volunteer added to your life? Maybe with time and compassion, the impact of the volunteer is much more meaningful to you than an investment banker that is trying to add to the country’s GDP. In the end, maybe the most valuable experiences we have are dictated more so by the true connections we make with people and place, not by a dollar value we can assign to them. The notion of traveling at home is just one example of this. Many of us can spend a few hundred dollars to constantly go somewhere, and be a stranger. But we can also choose not to spend the money, and instead be a neighbor, a community member, a volunteer, an organizer. Of course, these choices don’t have to be mutually exclusive, but you know what I mean.
I hope to hear your thoughts on this series.
"The government feels that as long as the pot of money in our country continues to grow."
ReplyDeleteNote that it's income (GDP, or something similar) that's used to measure growth, not the total money supply (whatever that is)--money circulates.
"just because money exists somewhere out there, and is continuing to grow"
I'd really encourage some basic economics reading, if only to acquire some more precise vocabulary. (Money doesn't grow.)
"doesn’t mean anything for those that are continuing to face continued degradation"
Policymakers care about GDP because it tends to correlate highly with other measures of welfare. See, for example, figure 6.1 of http://www.worthpublishers.com/catalog/static/worth/cowentabarrok/macro/samples/CT_macro_ch06.pdf.
It is of course an imperfect measure, but it's still a valuable one.
Bruce,
ReplyDeleteThanks for pointing out inconsistencies in my language. I will try to make sure to use correct terminology.