what resources and methods would you recommend if someone wants to understand money , how it functions? don't want to understand it for the personal financial purposes but just for the sake of understanding.
Resources to understand deeply how money works?
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Re: Resources to understand deeply how money works?
#2Are you sure you want to take that pill?
Re: Resources to understand deeply how money works?
#3In what way do you mean "how money works?" Do you mean it from a technical standpoint, like "how a bank transfers money?" Do you mean it in the "how things like the stock market work" sense? Do you mean it in the "how money is printed" sense?
Point being that "money" is a large set of topics. It would be helpful to narrow that down a little bit.
Re: Resources to understand deeply how money works?
#4There are no right answers.. My personal understanding is that any economic activity is directly proportional to energy spent and no of operations or movements... To explain with example.. Aws has many cloud services sql, ai, networking, etc... All of which can run on x86 arc.. All of x86 instruction set can be replaced as set of x86 MOV operations so only diff between different services is no of MOV instructions executed and how much energy it took to execute the operations... In conclusion you could say value = total no mov ops * energy consumed
Re: Resources to understand deeply how money works?
#5There are great many books on finance. Start with basics and progress from there
Re: Resources to understand deeply how money works?
#6I would recommend reading some books on economics, accounting, and finance.
Re: Resources to understand deeply how money works?
#7To truly "understand" money is not just about economics, but political philosophy. What used to be termed "political economy".
At a very very high level you can think of money as a promise of labour. Having it allows society to cooperate asynchronously. But there are all manner of scenarios where promises break down.
Re: Resources to understand deeply how money works?
#8I have heard good things about David Graeber’s book “Debt: the first 5000 years.”
Re: Resources to understand deeply how money works?
#9I'm assuming you mean that want to understand monetary policy, what makes money trustworthy/valuable, inflation, etc. Here are a few books that I thought were good, but I also wish I knew about a single better resource:
- The Ascent of Money: A Financial History of the World by Niall Ferguson (This also has a documentary)
- Principles for Dealing with the Changing World Order: Why Nations Succeed or Fail by Ray Dalio (not directly about money but does a good job at explaining reserve currencies, types of currencies, debt cycles, inflation, all of which are related)
- What is Money, anyway? [0]
Re: Resources to understand deeply how money works?
#10I have heard good things about David Graeber’s book “Debt: the first 5000 years.”
Please no. It might teach you about quaint cultural practices of remote tribes but it's completely useless for understanding how money works in the real world.