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by halperter 34 days ago
I think that wealth is pretty much comparative, as you said, but I think that money (which I'm interpreting as an indentifier of worth, tell me if that's wrong) isn't zero sum. Price is (generally) proportional to value, measured in how much you stand to benefit by owning/selling/using an asset as compared to doing nothing. The physical dollar bill may have limited circulation at a moment in time, but value fluctuates. Supply up, value---and then price---down, assuming all other factors are constant. Value can be created and dissolve in weeks as it is intriniscally subjective---think fads and trends. One pair of jeans could be worth a couple hundred one day and be worthless the other. Thus, value and thus money is not zero sum.
1 comments

"Value", being subjective, is just warm fuzzy feelings. You can't measure it, let alone prove that it's proportional to anything (such as price, which is objective), and you can't pay bills in it. They say how much "value" something has is determined by how much is satisfies someone's wants. But you can't sell how satisfied you are. Money is what determines what you can afford, not "value". If you have money, or can get money easily, you are rich, and if you don't have and can't get money, then you are poor. Money IS zero-sum. For someone to acquire money, someone else must spend money. The only exception is when the Federal Reserve creates money out of nothing and hand it to their friends.