johnlucas said:
Inflation. Here's a quick Wikipedia history.
"The yen was therefore basically a dollar unit, like all dollars, descended from the Spanish Pieces of eight, and up until the year 1873, all the dollars in the world had more or less the same value...
You gotta think ratios. Print all the money in the world but if the same people own the same ratio of that money, nothing has changed. Instead of a U.S. where rich folks get $99 out of every $100, with the new printing the rich get $990 out of every $1,000. More money is produced but the ratio remains the same. That's why I insist that money is by design a ZERO-SUM GAME. Somebody has to be poor for somebody else to be rich or money loses its value. It is directly responsible for economic segregation which naturally leads into social segregation. This is why we have economic classes & different behaviors according to what class you belong to. And by setting access to power based on how many money pieces you control, this is why you have essentially different rules for the rich & the poor. The rich write the rules in the first place to control the poor ones. To control them to protect their greater ratio of money ownership, power ownership. And speaking of land, there ARE a finite amount of houses that can be built. The Planet Earth has limits. It has a certain size, certain livable land masses. Rich buy up a lot of land to have the least dense amount of population living in that vast land. Mansions & estates where only a small handful of people live. While in poorer neighborhoods population density is greater because of more people living in that lesser sized land. You notice that the rich always find their way to the best land in the area? The poor live under polluting factories, noisy railways & airports. I laugh at Al Gore & his ridiculous carbon footprint crap. This rich bastard probably uses more energy in a day then a whole neighborhood uses in a week! THAT'S an inconvenient truth. His mansion, his private jet, his cars, his yacht, all of that uses vast amounts of energy everyday. And uses this vast energy for less people at a time. It's only for him & his family. The same energy he uses can supply multiple families (plural!) of a neighborhood or even neighborhoods. Oh & your analogy with Wii & the games. Don't you know that for used game value the rarer the game in demand the higher the price will be? Super Mario Galaxy is a masterpiece so it will be in demand but because it's plentiful that offsets the ability to charge a premium for it. Can't find one, you're sure to find another. How much did that rarely produced Nintendo World Championships 1990 cartridge cost? Here's an excerpt from Wikipedia. http://en.wikipedia.org/wiki/Nintendo_World_Championships#Collectible_value
On March 18, 2007 a listing appeared on Myebid.com in which a cartridge appeared to have been inadvertently included in a bereavement sale of 24 NES games. According to the auction, a father was selling the possessions of his deceased son. The auction ended at $21,400,[10] though collectors have speculated that neither the listing nor the bids were legitimate.[11][12] [13] In 2008, a cartridge went for $15,000,[14] and the next copy to surface sold in June 2009 for $17,500.[15] Most recently, in December 2009, JJGames presented a copy on eBay as part of a charity auction for World Vision; the auction ended with a winning bid of $13,600.[16] The high bidder failed to pay and the cartridge sold privately for $18,000.[17] "
And that underlines my previous declaration that money is only valuable by proxy, by association with the things of real value. It's only a middleman, a velvet rope, a club bouncer inbetween that which we truly value. You can never figure out income inequality until you come to terms with what money REALLY means. |
Johnlucas, no one is having a problem understanding what you're saying about inflation but you're completely missing the point of what others are saying.
An individual today who is a member of the poorest 20% in the economy has a dramatically higher standard of living than an individual who was in the wealthiest 20% 100 years ago. Over time due to dramatic increases in the productivity of individuals within the economy, the standard of living of everyone in the economy increases and, while people may be relatively less wealthy compared to people at the same point in time, they become wealthier in real terms.
Printing money faster than the rate of economic growth within the economy will certainly cause inflation, but this does not mean that wealth isn't growing or that real wealth is a zero sum game.
As for "land" or more generally real-estate being finite, if I knock down a small condo complex that has 100 units that have an average square footage of 500 square feet and replace it with a new condo complex that has 1000 units with an average square footage of 1000 square feet I have increased efficient use of the land to the extent that 10 times as many people can use it each having a higher standard of living and in a very real sense have created land.