March 9, 2016

Living without Money

Philippines virgin island
Philippines Virgin Island by Lestatb / User: (WT-shared) Jeffvbaldemor at wts wikivoyage - Own work, Public Domain

I was inspired by the quote that “people should not work for money; money should work for people” and that “people should not work for economy; economy should work for people”. It would be amazing to imagine if our economic system will really work for us – you would wake-up in the morning not worrying about money. When economy is working for people – people would have financial insurance – that means every person in this planet would have enough money in their savings account to finance their entire life – let say 90 years. In this case, money will just be a vehicle or tool for exchange not a need; the society will feel again that resources are free just like the old times. People can create, explore, eat, and socialize without worrying about the money tomorrow.

But in the reality today, money is a need. Many people woke up in the morning to find money. The quote above is reversed “people work for the economy” not that the economy works for the people. This is not to say that the government or the central bank should flood the money to the society; too much money in the system will result to inflationary pressure which will reduce the value of money. What is needed is stabilization of the distribution of money. Removing money from the system will not also solve the problem since this will lessen the motivation to create business in the private sector, which is needed in producing basic goods and services in the country.

The money was created to ease the exchange of goods (or products) and services. During the past the exchange was purely goods to goods; then it became metals to goods; then coins and paper to goods; then today, paperless method like, credit and ATM cards to goods; . Thus, exchange or trade was already happening in the past without money, money was just created to ease exchange. Today people have the option to trade without money (barter method) or to trade using money – but majority would still use money because this is the easiest way to trade or exchange goods and services.

People who did not adapt to capitalism (who did not use money) stayed in the mountains where there is free access to resources, while people who chose to adopt the capitalistic system work and build business and use money as their medium of exchange. Today people have two choices, they can live in the mountains for free without worrying about money but they would need to hunt for their basic needs or they live down the mountains and look for money. In whatever scenario, people would need to hunt for something to survive; people need to look for food to eat.

Without going deeper into this subject, it’s safe to conclude that resources in every country should be managed and distributed very well for the welfare of the next generation.

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