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Money, Financial Boom & Bust Cycles – An Inevitable Outcome

Hilights


Money, Finance & Taxation,Public Arena

Summary:

In ancient times, the concept of Money allowed for a steady loss of value in accordance with Nature’s Laws? Overtime as the Money transactions become safer or more secure and the financial systems allowed for the concept of increasing value of Money due to compounding interest the financial system itself begins to operate in cycles of ‘Boom’ and ‘Bust’. The introduction of paper currency as representative of actual assets was convenient, but once disassociated from the assets it became FIAT currency and soon the very values of which ‘Money’ is a store of began to fluctuate and when coupled with increasing interest thereon such fluctuations led to lack of Trust which again further exacerbated i n t o the ‘Boom’ and ‘Bust’ cycles.

We now once again need to value ‘Money’ more systematically and in ways that are in accordance with Nature’s Laws and also arrive at more realistic ways to determine the inter-se exchange value of Money when dealing with other countries. A return to a fully Gold standard may not be practical but, a universally accepted standard in which Gold, Silver and other natural and quantifiable resources constitute a major and mutually acceptable part, and also incorporating the cost of inputs that count, such as, Manhour-labour, Energy, etc. all linked appropriately and algorithmically via Block chain methodology to a mutually accepted Crypto-Currency may be the way to prevent Countries from manipulating their currencies.

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