inflation

inflation 

inflation 

We all know that in our country most people are facing the problem of money but we should know that first every country in this world facing the problem of money. We all know that inflation is growing very fast every year and we don’t know what to do?

In future inflation going to touch the sky and normal people can’t even afford the good food we all know that rich are becoming more rich and poor are becoming poorer but you don’t know that why is happening and we never think about to understand why inflation growing day by day.

Today I will tell you about money, world economy any many secrets which will help you to beat inflation and these secrets are very important to know everyone.

The reality of money and currency

True wealth of humans is his time and his freedom, this wealth is robbing very easily and legally and if you are thinking about how it is possible then you have to know the first history of money.

Most of the people know in starting of transactions humans use a barter system where if we exchange thing with another thing like if you want milk then you will give another thing which is equal in value with the milk.

Sometimes humans face many complications because we can exchange cock with rich but how we can exchange Buffalo with rich that why this plan was not run so long but people know that gold is a valuable thing for us that’s why people made gold and silver coin as money and start their transactions but it was difficult some time to carry many silver and gold coins due to holding more gold while travelling was the matter of concern because of its weight and they were afraid of theft as well.

Some goldsmith and other people thought of business opportunity in it, so they came up with a solution they told, to give their gold to them they will keep it safe and in return they just need some amount of fees.

Most of the people like it so most of the people gave their gold and silver to them (Goldsmith) in return goldsmiths give them the IOU which was just a piece of paper in which it was written, that I have your gold, how much gram it is. Basically in simple words it was a receipt of gold which you gave it to them (goldsmith).

When you want your gold you will show that you can take your gold back this system was working properly but after someone goldsmith realize something weird after making the system, most of the people are not coming to take their gold back and all were doing their business by using that IOU receipt because all were sure if there is the receipt, mean gold is also safe

After realizing this thing, the goldsmith become greedy and they start working in the wrong ways because that receipt has become the money that why they started making more receipt even when they don’t have that much gold with them and started giving that receipt to the poor people on loan and started earning interest on that loan receipt.

This way, they printed making receipt as per their will and they were earned a lot of money by taking others time freedom and hard work this way the world’s largest theft began.

The shop which was protecting gold was the world’s first bank and the receipt was the world’s first currency.

  Globally, today we all are living in such a big financial crisis because of the reason for this is we do not know the difference between money and the currency, most of the people think, that both money and the currencies are one and the same but that’s not true.

Currency is a medium of the exchange which you can carry anywhere easily which will not get spoiled easily which is portable, divisible, durable and fungible too which means if you have 100 rupees note with you is similar to my 100 rupees note and it can be used to purchase the same thing this is the currency.

Even money has all these properties like even money is portable, durable and fungible but the thing which makes money different from currency that is money stores some value inside it which stays for many years and because of which its purchasing power remains.

Example

   In former times where fiat currency used to work it has no value today but the value of gold and silver which is the form of money still works which had value before 1000 and 1000 years as well,

Whereas fiat currency is just a piece of paper which can be printed as many as government and bank wants because of which its value can be changed after some time as we can see from the ancient time but gold and silver value has remained the same from 5 thousand years and they are the actual money and no one can print them as much as they want by any machine.

 Government and bank can print money as much they want that’s why most of the time due to greed or any other reasons the government prints a lot of currency and brings it in the market and the quantity of the currency increase in the market.

Now you must have thinking that what’s the issue more currency means more money in the market which is good then you are thinking wrong because of the reason and definition of increase dearness is the more supply of currency.

The more currency increases the more the price of the gold (commodity) increase.

Example

 Suppose there is a pool instead it is the pool of currency and inside it there is a sponge which is the price of the gold (commodity), so what is happen as currency increase the price of goods soak it and also increase along with it.

The game of fiat currency is working because of the bank confidence and because of our lack of knowledge. However, the bank doesn’t hide anything instead they say it on our face about the fiat currency which means it has no gold behind it but still we do not understand and take the receipt and protect it more than our life.

Whereas its value is reducing and will reduce more due to inflation so to conclude what we should do,

At first, learn this topic more and understand it more properly and share this knowledge as much as possible and educate them it has been said that the secrets which I have shared with you all and will share more in the coming blogs were understand by 1 person out of 1 lac.

That why we are still the slave of this system and couldn’t do anything to change it but today’s world is dominated by social media and internet we can spread this knowledge.

Instead of job think about business try to become rich not for you but for others for the sake of the country betterment because after doing business you can find the loopholes and can fight for it not by doing a job.

Do some invest in silver and gold they are the actual money and will keep the purchasing power for long and the government cannot print it as per their will and cannot stop it overnight