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Finance doesn't create value, most of the times actually destroys it. Moreover, you're looking at this with a clearly US-centric perspective, in many other coun
by justalanm 6y ago
Finance doesn't create value, most of the times actually destroys it. Moreover, you're looking at this with a clearly US-centric perspective, in many other countries we don't need to know about retirement schemes, school loans and health insurance policies (you seem to have forgotten that insurance IS finance, but this might be just another example of the reason why this is hairy).
So, if tomorrow all of this changes, you'll have millions of people with really useless knowledge. And who changes these things? Politics. This is politics. Won't it be better that people learn about politics, philosophy and history so that they have the tools they need to actually understand and change the world around them?
- chottocharaii 6y agoI would say finance when operating at its best, recognises and enables value opportunities. When those value opportunities are mutualistic (I.e. financing a new venture) its doing its job in a way that benefits us all. The problem is that much of modern finance generates value through extraction rather than a mutualistic gain. For example a private equity firm displacing a union contract; or squeezing suppliers; or jacking up drug prices.
- bawolff 6y agoSo, if you dont need to know about school loans, how about car loans, morgatges, credit cards etc. If not, which communist utopia are you thinking of where you never have to worry about money, and how do i move there?
- sofixa 6y agoCredit cards are rare and pretty much useless in most European countries ( and damn right unusable in the Netherlands for instance). Mortgages and car loans are pretty simple due to heavy regulation ( they have to show the total interest, how much you will end up paying in interest over the lifespan, etc.), what's there to learn about them?
- bawolff 6y agoI mean i could say the same thing about most of the subject matter of this page. Most consumer oriented financial products are fairly simple, and yet people seem confused by them.
- justalanm 6y agoThat's the point, you're not talking about money, but about debt and risk (people always forget about risk and insurance). What there is to know about credit cards, really? I pay something today with it, then I pay it back at a later date, it's debt. This will to complicate things more than they need to comes from banks pretending that they are "cool again" and have all sorts of different products, when in reality banking is the most boring thing ever invented: here's some money now, you'll give it back to me at a later date with an interest. Moreover, by your remark "communist utopia" you're perfectly showing that I'm right in calling for more literacy about history, philosophy and politics. This isn't communism in any possible form, au contraire we're still moving well within the boundaries of capitalism. communism isn't about abolishing money, or debt