Hoarding money? or hoarding value?

So, money only has value based on shares of goods and labor.

money is nothing more than cloth like paper

It *should* but it's also representative of currency manipulation

Money is a neutral representation of goods and labor

"neutral" is a big word though, just because, actual value is subjective.

Inflation is based on circulation right?

rather currency in circulation

@Blackhawk342 most are agreed now inflation is caused by excess money supply.

So yeah, too much in circulation basically.

Money only has value if it is used. A 4tillion yen note is useless to me down the village shop. Just as useless as a billion ponds sitting in the bank I'm not going to spend.

The value of an item is based on what people will pay for it

Money is in no way neutral, nor is it representative proportionally to the goods and labour of a nation. You'd be right ages ago, but now the government controls the rate of value increase artificially

Modern cash is fiat based, not output based

And yes, the value of an item is exactly what people will pay for it, no more and no less

hoarding your labor, which is the closest you get to any actual value, is harmful to yourself and those around you as you are not effective at acquiring everything needed to live, and neither are those around you. Those effective at something will produce more results than those around you doing the same task for the same period of time. By shifting focus from being a jack of all trades to a master, more can be produced overall in the same amount of time, allowing buffers to be built up to prep for future problems

Or rate of value decrease rather

Money is "neutral" because everyone will accept it, but its value is pretty much subjective, which is why market prices fluctuate--what people will pay varies.

Rye, if hording money is not a bad thing and everyone does it the money supply dries up and no one can use it so they would start to use something else and your horded money loses value until it it worth nothing.

That's contextually based. I don't accept my wages in Yen, for instance

@Poppy Rider money is nothing, value is what is important.

I know

which is why i asked, hoarding value, or hoarding money.

It is the trust we put into it that gives it value.

unless you are low on cloths, hoarding money doesn't hurt.

He said money

^^

money is cloth like paper

doubt hording bolívar fuerte in Venezuela is hurting anything

I did say money

Paper money has more value than clothe simply coz it's easier to carry and not everyone needs cloths.

fite me

yeah, but its not as durable as cloth

Common currency exists because barter depends on the needs of the person you're trading with

but if you are hoarding value, it means you are taking from others without giving back, which is a drain on the system

currency bypasses that requirement

IF I horde all the money is can the supplier has to make more so there is enough to sever the community. That causes inflation making your cash worth less. If you are just sitting on it, that is.

Why does he have to make more? No exchange has been made that requires that money, no?

If there isn't enough currency is circulation to serve the needs of the community the community will start to use something else untill they stop using the original altogether.

If everyone stopped spending nobody would be buying food

Okay let's break this down though