5 ms·

I'm not well versed, but I don't think your assumption is accurate. At time t, the sum value of all money depends on who is holding it. It seems to me that $1

I'm not well versed, but I don't think your assumption is accurate. At time t, the sum value of all money depends on who is holding it. It seems to me that $1M isn't the same to everyone - if I'm dying unless I get a surgery paid for by that money, its worth more to me (I am willing to pay more over time to access the money now) than to Bill Gates. Or a business. Give $1M today to the right business and it'll be worth more than if you give it to your local neighborhood MLM. While the change in value is realized over time, the net present value of the money varies depending on those future deltas. Am I way off here? What I'm trying to say is that current value is derived from future value, so the sum of money at time t is dependent on how today's money is distributed and grows in the future.

cmehdy 6y ago
But that's.. literally what money is. 1 dollar is a dollar to every person aware of a dollar. What you're talking about is what the PROMISE of a dollar right now in some hands can be, in which case you're not solely putting value on the dollar bill in my hand but on the value created by my person in your belief - which is where people get to disagree and think whatever they want. And be right and win big, or be wrong and lose big, and anything in between. It doesn't change the fact that whether the promise is mine or some other person's, when you give us a dollar it's a dollar to either of us. What we're making of it is the added value from human contribution at t+1 (and on and on).