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We use the exchange of money to approximate value. You won't pay me $1,000 dollars for my mousepad, because you don't value it at that. Someone around here used
by Grimm1 5y ago
We use the exchange of money to approximate value. You won't pay me $1,000 dollars for my mousepad, because you don't value it at that. Someone around here used a bad example of rigging art prices, but the reality is, that painting is now valued at whatever 10's of millions of dollars it is regardless of personal feelings of mediocrity.
Money is of course not value, and I'm sorry, but that is a completely basic statement that I'm surprised to see so many people it's just dawning on them now, but it is the tool we use to approximate actual value in our transactions, whether that be for labor purchase, value passed on to share holders etc. Of course it's an approximation with issues, someone define value for me? You can't because value is different to everyone but we use money to express the value we perceive something to have in matters of business.
The writer here doesn't seem to understand basic economics and money as a proxy for value, again in business, which seems likely and they should probably stay in their lane just like we tell other people who write things they know nothing about.
This standard proxy of value is true in every purchase you make, your salary, his stock value etc. and it's the standard we use, and is it perfect, hell no, but it's worked since the concept of exchanging coins in place of cows and barrels of spice came around and we haven't seen anything supplant it yet. The fact the author is quibbling over semantics to me means there is not much of an actual argument being made and everyone here just ate it up.
- seoaeu 5y agoThe author directly acknowledges that money can be used to measure value: > I’m going to tacitly accept [...] that “value” can meaningfully be expressed in terms of United States dollars That doesn't mean you can just sum up a bunch of dollar figures and have the total make any logical sense. Doubly so when you are arguing that the sum represents value you created and not just the values of things you interacted with. Like if a bank teller takes $5000 dollars and deposits it into a customer's account, they haven't created anywhere close to $5000 because the owner already had it when they walked through the doors of the bank. And if you add that number to the bank teller's wages and the price of a safe deposit box at the bank down the street, you haven't discovered the value of the transaction... all you've got is nonsense.