Production and processing create added value. Wealth is the accumulation of this added value. Distribution shares this added value among economic entities. Cultivating coffee trees generates added value for green coffee beans, while roasting those beans adds further value to the coffee product. Grinding the beans and extracting them with water creates and consumes the added value of a cup of coffee. Finance enables the distribution of the added value generated by this production and processing through the use of money, facilitating the easy accumulation of that value. However, finance can leverage its power only because there was prior production and processing. The challenge arises when the compulsory circulation power of currency enables the ownership of labor and resources that underpin production and processing, along with real estate, which is foundational to its existence. If production, processing, and distribution are dictated by money’s compulsory circulation power, who will g...
Human behavior and psychology are tricky and complex. If you ask someone who prefers short-term gains, “Would you like to get $1,000 now or $1,020 a year from now,” the person will choose the former. However, if you change the question, “Would you like to get $1,000 in 10 years or $1,020 in 11 years,” people will choose the latter. The taking of time and possessiveness are even under the same conditions, they make different choices. These two dominate the human personality. - Joseph’s “just my thoughts”