G.O.M Betsy Taylor

Betsy Taylor is the co-founder of the Center for the New American Dream, president of 1Sky, author of What Kids Really Want that Money Can’t Buy and Sustainable Planet: Solutions for the 21st century.  Reading Betsy’s blog was like looking into a mirror.  We agree on so many issues of the world we live in today.  She talks about how Americans work very long hours with little vacation time and family time.  Our economy is structured around buy more!  We are very materialistic culture and one of the reasons we work long hours….we want a better car, bigger house, and more money.  Until we get used to the norm, we again search for a bigger house, better car and the cycle repeats.  She talks about the American dream that with hard work we can lead a good, happy life.  Today, that dream has modified a bit because we do work hard to lead a good life but not necessarily a happier one.  We are constantly comparing ourselves to one another and will always find fault in ourselves.  We are truly never happy.  Why can’t we just be content?  It’s hard to do this because advertising is all around us, 24/7.  You think it doesn't affect but studies show advertising does affect us.  To stop the constant social comparisons and just be content with what we have, we must turn off all technological devices and find peace in ourselves.  This can be challenging but even meditating for even 10 minutes a day can pay huge dividends.  Sometimes we just need to get away from the word.  

Betsy brought up a good point that I totally forgot.  After 9/11, the first thing President Bush told the American public was to shop in order to keep the wheels of the economy moving.  So much to the point people bought things with money they did not have.  Thus, the use of credit went berserk.  The paradox of the chapter highlights opposing interests in the planet and people.  In order to have a fruitful economy, people need to spend and that generates revenue and employment.  However, this use and purchase of goods hurts the planet because it leads to pollution, excess waste.  So what do we do?  

Ch. 5 Real Virtuality

Chapter 5 was a little bit difficult to understand.  The title of the chapter is an oxymoron: "real virtuality."  The author uses QQ coins as an example which are like bitcoins, which are an online virtual currency.  If you have played computer games or video games, they will give you options to purchase merchandise in order to help you beat the game.  This goes hand in hand with mercantilism but unlike in real life, the author describes it as "free market mercantilism at its best."  But if you think about the QQ situation is a bit complicated.  Essentially you are trading real money for fake online currency.  The value of currency in real life comes from the government setting a value for the currency and its trade value.  But with QQ coins, the user is essentially free from government control.  I thought it was a pretty interesting read because it reminded of bitcoins.  

John Bloom starts the chapter off by explaining to the reader that we normally associate things with what we are already familiar with. For example, in normal language we substitute the use of credit cards by saying we are using money which isn't true. The world doesn't really revolve the way we think it to revolve. Bloom then goes on to explain what QQ coins are, virtual coins for users in their messaging system. The QQ coin became relevant once other game sites began to accept the coins as well. The problem with the virtual currency was that it was difficult to regulate and people began to use it as regular money that couldn't be traced and could avoid being taxed. QQ coins served as a bridge between what is real and what is not. People used the coins in order to gain real money, but at the same time the coins were merely an "afterimage" of what real money is. Regardless of the fact that it is just a virtual currency, the coins needed to be taken care of by the Chinese government in order to protect their real currency. It is important to note that if virtual currencies are left unchecked it could lead to chaos and devaluation of real currencies.

The Genius of Money

Ch. 2 Coining A Myth

Chapter 2 uses the Greek myth of “Titian: Danae and the Shower of Gold” to tell us that ancient myths have an underlying meaning that transcends the truths of life through the use of symbolism and story-telling.  They describe human character and human action.  The powerful thing about these myths is that they are timeless.  The Greek myth tells the story of Danae who was a princess of Argos, the only child of King Acrisius and Eurydice.  Acrisius visits the Oracle and finds out he will be killed by his future grandson.  So, to prevent this from happening, he locks Danae and her servant in a chamber.  Then Zeus discovers of Danae’s confinement and falls in love with her and impregnates her in the guise of a golden shower.  Titian uses the analogy of golden “coins” as a symbol of power and money.  Money and power allow you to open doors that are closed to most and get almost anything you want.  Interestingly, Danae was seen in the Middle Ages as an example of how feminine beauty and moral virtue can be tainted by the corruption of wealth.  Today, that analogy still holds true as money and power go hand-in-hand.  

The part of the Greek myth that confused me was when Acrisius found out Zeus had impregnated his daughter, Danae.  She bore a son Perseus.  Acrisius then put Danae and Perseus in a wooden chest and leaves them to die in the middle of the sea.  After going through all that trouble of going to the Oracle and knowing that he would be killed by his grandson, why did he leave it to chance?  He could have undone the prophecy by taking the life of his daughter and grandson by his bare hands.  I like this story because it reminds me of Aesop's fables.  They both tell of human faults and yet mankind seems to repeat the same mistakes over and over again.  Will we ever learn?  

Ch. 14 The Touchstone and the Labyrinth 

This chapter was a little confusing.  I had to read it 3 times.  Im not sure I fully understand it but I will give it a shot.  Basically, the chapter is talking about money as a physical and spiritual entity.  John Bloom has deduced that “money is a medium of expression” and one that makes the “invisible visible.”   Money is abstract and it’s value comes from what we assign to it.  The analogy he uses to explain this duality of money is the labyrinth and the touchstone.  The labyrinth represents a horizontal plane (physical aspect of money like using it for buying material objects) and vertical plane (spiritual aspect of money like the value we assign to it).   Bloom relates money to language as a “medium of exchange (horizontal) and a measure of value (vertical).”  They each require the other to have a whole meaning.  The way I make sense of the labyrinth is by comparing it to human nature.  Humans need water, food, shelter, etc in order to go on living.  We can live a very fulfilling life.  Then religion would be like the spiritual aspect in that our lives have a deeper meaning or purpose than just making money and then dying.  I’m not advocating you need to be religious in any way, shape, or form.  That is just how I make sense of this complicated chapter.  

The other half of money Bloom talks about in this chapter is money as a touchstone.  In recorded human history, minerals and precious metals have been given relative value by comparing it to other metals and mineral i.e gold, silver, copper.  To determine their value or purity, they were tested with acid.  By the progression of increasingly concentrated acid, value was assigned to these various metals.  This in part is where gold gets its high value from.  Basically, it’s a litmus test (for those who have taken Chemistry).  Bloom talks about the touchstone as a path to which humans develop a relationship with money.  It requires we really think about what we are spending our money on.  However, this thoughtfulness has dissipated and we now spend money quickly, effortlessly.  We even spend money we don’t have (credit).  The term he uses is “flat money.”  Look at today, there is no real currency, no standard we can compare to.  This is due to having no gold standard since President Nixon.  Because of flat money, he says we lose our understanding about the material value of money.  After reading Bloom’s Ch. 14 thoughts on money, it’s hard to disagree with his point.  I can see what he means when says we have lost touch with the value of money.  We do not really spend money wisely just look at everyone who buys Hoverboards.  Personally, I think they are a waste of money.  Can you recall the last time you spent money on something you didn’t really need but did so anyways just because you had the money.  Anyway, those are my thoughts on this chapter.  I hope my blog makes some sense.