Joseph's "Just My Thoughts"

Occupy and Move: These concepts are the key to wealth. Here, ‘occupy’ means owning goods, and ‘move’ refers to transferring ownership through exchange. Wealth is built by accumulating possessions. For accumulation to occur, a good must first be owned by someone else and then transferred. The transfer of ownership is what I call the movement of goods. To transfer, a payment is made to the current owner, usually in currency. Currency simplifies exchanges, as it is easier to move and issue than physical goods. Today, currency moves electronically, accelerating transactions. Had goods always been exchanged directly for other goods, exchanges and wealth accumulation would progress more slowly and inefficiently. The economic system now manages prices by adjusting the money supply, controlling the value of goods relative to currency, since money is easier to manage than goods. Business and investment outcomes depend on whether wealth is stored in money or in goods. If you emphasize goods, pat...

Most economic concerns are at the core of the conflict between the price of goods and the value of money . An increase in interest rates means a higher cost for borrowing money. This also causes the value of money to rise. Investors want to own an asset that will appreciate in value. They consider whether to buy a good or a currency. Investing in stocks means buying a company, while buying bonds means buying fiat currency . Most investors see these two concepts as corresponding concepts, not assets of the same nature. The proposition that money buys goods represents a very significant aspect of investing. If you want to invest well, you should get a hint from this proposition. Money appeared because of the convenience of exchanging goods, but in the world of investment, it always results in a confrontation between goods and money. - Joseph’s “just my thoughts”

Money is the most widely used medium of exchange worldwide, serving as a way to buy essential goods needed for life or to store wealth. Since the country guarantees the stability of fiat currency , it becomes possible to exchange ‘things for money’ instead of ‘things for goods,’ unless the country goes bankrupt. However, this amount of money cannot be increased indefinitely. When there is too much money in circulation, its value drops below the price of goods, causing those who hold wealth in money to lose that wealth. The key point is that money is limited in the market. Due to this limitation, money gains value. The government regulates this money supply through the ‘ interest rate .’ Raising the interest rate reduces the money supply, while lowering it increases the supply. This helps control prices. Therefore, understanding the interest rate is crucial for managing and valuing wealth, making it essential to know the interest rate above all else in life. - Joseph’s “just my thought...

Cash serves as a universal means of payment for exchanging goods and services that everyone needs. For manufacturers to continue producing these goods and services, prices must be slightly higher than the market value of cash . This is because if the value of the goods or services produced falls below the cash, manufacturers or service providers will prefer to hold cash instead of producing these goods or services. Consequently, it is accurate to say that the value of cash is less than that of the goods or services. However, people desire cash because it functions as a means of payment endowed with “ compulsory circulation power .” In other words, cash has no limits on the exchange of value and possesses the capacity to reward even human life. Due to its enforced value exchange by law, people consistently strive for cash, even if it holds less value than goods. Therefore, all economic indicators and expressions of wealth are converted into cash. - Joseph’s “just my thoughts”