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EternalShadow
EternalShadow
Because money.
Tai_MT
Tai_MT
It's actually really cool and interesting why it exists, and it's sad more people don't know why we trade paper and coins with agreed upon values instead of say... livestock, grain, or other material things. It makes me sad to have to explain why currency exists and why it's better than barter systems.
EternalShadow
EternalShadow
I meant 'because money' in that because economics teaching would cost schools more and they can't afford it.
Sausage_Boi
Sausage_Boi
Austrian or Keynesian?
Sausage_Boi
Sausage_Boi
So when paper has nothing backing it, and I could just tell you it is worth X dollars and I can print up any amount of that funny paper, how is that better than the barter? Besides the fact that other people HAVE to use your debt just to get on in the world. Where as the bartering people could go find a better deal.
Sausage_Boi
Sausage_Boi
I understand the use of coins, but I reject the flawed logic of monopoly money that can be printed at will by private interests.
Tai_MT
Tai_MT
*ahem* Currency actually used to exist as metals like silver, copper, and gold because they were physically valuable metals. Their actual value was set by how many there were in circulation (supply and demand) and their purity. This is why different nations used the same metals, but printed different coins and they differed in values. Paper currency came into effect when merchants decided that all gold, silver, and copper should be the same price to avoid the massive problem of carrying al...
Tai_MT
Tai_MT
all those coins around. Most nations adopted a "paper" currency backed by the valuable metal of Gold because it was easier to track and the value of the dollar notes would work the same way as the coins did in that the more were in circulation, the less they were worth.
Tai_MT
Tai_MT
Currency, itself, was established as a means to trade what equated to how hard you worked and how long you worked for goods and services that could maybe not be so easily measured or bartered with as the seller could demand any old thing as payment, or anyone could demand you trade in any kind of good or service for something you deemed of equal value.
Tai_MT
Tai_MT
Currency exists because value is relative and not absolute. Currency is the attempt by humanity to try to normalize "value" of products by providing an absolute measure for it (currency).


See what I mean about having to explain this stuff and why it would be better to have these classes taught in school?
EternalShadow
EternalShadow
//lolignored//
deilin
deilin
I took economics. Tought me nothing I use in my daily life, and if anything, no government know how to use money, and that money is overvalued.
Jaide
Jaide
The problem with teaching kids economics is that they still retain their biases that they learn from their parents. It was a sad truth that I saw when I had to take economics classes in high school.
Tai_MT
Tai_MT
@Jaide


You're probably right. Still, I can't see it hurting anything. I never learned economics until after I left High School and it really opened my eyes. Everyone participates in the economy, even if they don't realize it.
Sausage_Boi
Sausage_Boi
My original question though: Austrian or Keynesian?


And very good reply, TaiMT. I am impressed. However, my concern with paper money is when it becomes decoupled from something with real value, and not something that can just be made up on demand. Fiat currency (paper money) has always crashed and burned. Zimbabwe style. *dances* Zim-zim...Zimbabwe style...
Sausage_Boi
Sausage_Boi
I took economics in High School. The only thing it taught me was the system is rigged, makes no logical sense, and we are all forked. Then I learned there was a second, more logical/less popular school of economic thought. Mind=Blown.
Tai_MT
Tai_MT
I think your issue with paper money actually stems from the problem I'm talking about. That is, people who don't know what currency is and how it works just printing money willy nilly because they don't understand how that devalues the currency. It only gets worse when you don't even have paper notes to tie your currency to and it's just out in digital space somewhere appearing out of thin air with no physical representation to back it up.
Marsigne
Marsigne
I knew most things you said yet I didn't learnt it from school (haven't got that class), but I don't know if it would resolve that by teaching it, that is up to the students, and I think what Jaide said could be the answer.


@deilin - Actually, it makes you understand certain things you have to understand, how it is that it doesn't taught you ANYTHING (?) you use in your daily life? even shopping online does require some knowledge to understand the why's when sho...
Marsigne
Marsigne
shopping between different currencies.

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