Money consists of any economic good, or any claim on such a good, that serves as a general medium of indirect exchange and that acts as a final means of payment. Although people widely use what they refer to as money, they don’t seem to have a clear understanding of its purpose in the market. … Continue reading The Purpose of Money
Month: July 2024
Money Definition Explained
The following succinctly states the definition of money. Money consists of any economic good, or any claim on such a good, that serves as a general medium of indirect exchange and that acts as a final means of payment. Although simply stated, this definition requires further explanation to clarify the precise meaning of the terms … Continue reading Money Definition Explained
Introduction to Money
The introduction of money into the market opens the possibilities for exchange between parties in different locations at different times with different needs. Because of the importance of money and banking in our economic system and the consistent misunderstanding of the role that it plays, I decided to create this series devoted to Money. Money … Continue reading Introduction to Money
What Makes Stock Prices Rise?
Historically, the stock market has been the most accurate predictor of economic performance. When the major averages rise, the economy tends to rise not long after. Based on this belief, many pundits believe the economy is on sound footing and will continue to grow in the future. But what's the story behind the increase in … Continue reading What Makes Stock Prices Rise?
Hate Revisited
I am an 80-year-old, white-skinned male. That information adds little credibility to this publication except that I do have an informed perspective. (Also, if you don’t listen to people with those attributes, stop here.) I lived during the following assassinations or attempts: John Kennedy Robert Kennedy Martin Luther King Malcolm X George Wallace Ronald Reagan … Continue reading Hate Revisited
The Significance of Zero Reserves Requirements
In 2020, The Federal Reserve System reduced the bank reserves requirement to zero. Those who should know and care about that change don’t seem to care. Those who might not know should both know and care. “Monetary policy” has affected the lives of people since the founding of The Federal Reserve in 1913, and usually … Continue reading The Significance of Zero Reserves Requirements