Money as Debt

Have you ever thought about where money originated? How did it come into existence? There are videos on YouTube called Money as Debt. These videos explain the grand-scheme of money. In one of my previous blogs, I wrote about value and how it is determined. Essentially, I think that money and value go hand-and-hand. Do you know that the government is not the only source of money? Banks actually produce money. For more information, watch the videos below.

 



— ALJ Analysis

Money as Debt is an awesome video. It has given me great insight how money is made. It also explains in great detail how the value of money was created. All over the news, you will hear that the government is spending way too much money. After watching this video, one may ask, "Is the government actually spending this money?" My answer would be “no". The government did not actually produce billion of dollars and give the money to AIG and GM, or rescue the housing market. In examples like AIG, it was almost as if they went through a bankruptcy without filing. The government forgave all debt in order to seize the company. In short, money is only as valuable as people perceive it to be. Sure, people want to have the ability to buy products and obtain assets. But those things also have value. It is the way of life — or is it?