- Reykjavik
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- Exalted Legendary Member
We just need to instigate more elitism and Mythic shenanigans.
Posted by: AcesOaces
Posted by: da halo bomba
Posted by: ImaDave
There is nothing backing up the value of a dollar except the idea of it being worth itself.
nope, sorry...
the bank uses GOLD to back it up. GOLD is the universal currency, normal people just cant be trusted with it...
Both are right. They back up the value with gold but the amount of gold changes based on how much money is printed. So theres a value but its still a idea of worth. Remember: a dollar now could make you rich in the past.
"an object is worth what the consumer will pay for it"
Gold is worth what someone will pay for it (usually paid in dollars). The value of the dollar is backed up by gold.
Realistically, money has no value, but is really a place holder for usefulness created by an individual. If a rancher produces 10 cows to be slaughtered, he would not be able to give one to everyone he needed to make an exchange with, because among his expenses would be cattle feed, gas for trucks, heating bills, living expenses, etc. So he can sell it for a representation of value, which is then recognized as "money". Money itself is useless, but what it represents is wealth, which is useful.
Fact: A perfect socialism would solve this problem by eliminating money altogether.