The Value of Living

There is nothing like to feel alive, being able to enjoy life and be happy. This money cannot buy.

Money can of course prevent poverty but poverty is not starvation and not suffering in the strictly absolute sense.

All of us live in relative poverty when compared to all the rich people, in terms of money. Rich people live in relative poverty when compared to ordinary people who can love and trust and be honest in equal measure without fear of the person closest to you stabbing you even when you are guarded.

Of course, all assets are relative in value, relative to money and relative to each other.

Now, the values of all types of assets are going to be measured by which way the economy is going to adjust. 

The biggest fear is that interest rates will rise to curb inflation. It is a bit too late to curb inflation. The world economy is already highly inflated. Prices are already very high, so say too high. Prices must adjust ie to fall in order for the economy to adjust back to equilibrium. Why adjust back? Because the global economy has stopped growing, China has stopped growing. So prices must adjust downwards in the coming future.

Interest rates are not going up because all policy makers and politicians are interested. Their wealth will evaporated as whenever there is an economic depression. We do not need a cut in the money supply for proper adjustment to take place. We just need the growth of the money supply namely the growth of debt creation to slow down. Then deceleration forces will bring about the needed economic correction. Those with their hands full of assets will be devastated.

The cryptocurrency investor has a major reckoning to make. Even cryptocurrency unit is now worth more than an ordinary person's lifetime income. More many of these units are out there waiting to cash out? If all the cryptocurrency units where to be sold, there don't think there is enough volume of the money supply to support that value under the supply curve of cryptocurrency. Even if that happens, the cryptocurrency investor will now hold all the money supply in the world and surely the interest rate on money will rise. They would want interest rates to be high then they can gain from holding cash. There is a convoluted thinking in cryptocurrency. We will let the cryptocurrency investors figure that one out. Similarly, the case with gold investors. The only real gold investors are those accumulating gold to support a new international reserve money. They will not ever sell their gold holdings, as would be the case for cryptocurrency investors who want to be wealthy in that digital unit.

The food for thought here is the nature of value of assets as we await how policymakers decide to solve their debt repayment problem. Unless, they all print money till all hell breaks loose, which it seems to be. Then, we should be gladness just to be alive. Enjoyment of life is an added bonus. How cool the night is tonight. Nice!