The Well Hidden Truth-Basic Elements of Money

The Well Hidden Truth-Basic Elements of Money

by Michael Benfield

Basic Elements of Money

Where does money come from? From where does it get its value? How does it get into circulation? It all seems complicated, but understanding the basic elements of money is not difficult. Our current system has become needlessly complicated in order to hide the truth behind a smokescreen of technicalities. I wrote this simple allegory to illustrate the basic elements of money. These are the secrets that are kept hidden from common knowledge. You will not find it taught in colleges or universities, and you will not find any books with the complete truth, because they could never be published. Of course the masters of our money know that some people are going to question the money system (scheme), so there are plenty of good books that question our corrupt system and are quite accurate until they get into the area of offering solutions, then the solution is almost inevitably a gold standard. Read the following and you will understand why the gold standard is a deception designed to send those perceptive enough to question the money system scurrying off on a wild goose chase, to be hopelessly lost and confused, and maybe even talked into an appealing sounding gold investment.

The Alchemist who turned lead into gold

Long ago in the country of Outland there was a tiny village named Trope. In a small hovel at the edge of the village, lived an old Alchemist, who was working busily on his quest to turn lead into gold. It would have been any typical summer day in Trope except for one thing. On this day, the Alchemist had a stroke of luck, which would change the lives of everyone in Trope for ever.

A smile slowly proceeded across the Alchemist's crumpled face as he slowly poured the last ingredient into the vat of molten metal, lovingly stirring the concoction with a long heavy ladle. "Perfect" he said to himself as he began pouring the thick mixture from the ladle into the molds. "I've done it! I have finally discovered the secret of turning lead into gold. I shall become the wealthiest man to ever live".

Over the years while he obsessively worked on his project to turn lead into gold, the old Alchemist had experienced much trial and error; he used this time to construct a most cunning plan. He had day dreamed for many years of what he would do, if only he could turn lead into gold.

In those days, gold was used for ornamental purposes, for things such as bracelets and earrings. With this in mind, the old Alchemist reasoned to himself, that after he had produced a significant quantity of gold, one day everyone in Outland would have all the gold they could ever want. He deduced that if that day were to ever arrive, the desire for gold would diminish and its value fade away. This worried him immensely, for his ultimate fear was for gold to become as common as the lead from which it was made.

The Alchemist thought to himself, "I must keep my secret recipe in my head and never reveal it to any other person, and I must manufacture my gold in limited quantities only, that it may always be desirable." The medieval chemist, being a greedy man, was not happy with limiting the amount of gold, he could create. "I must discover a new use for my gold that will make it desirable to everyone, no matter how much I produce. I know there must be a way." he thought to himself. "There must be a way."

One day a brilliant idea burst into his head. "That's it!" His grin blossoming into an exuberant smile, revealing the total absence of teeth. "I shall make my gold into little round ingots, and I will call them coyens." This in Outlandish means token. "Then I will loan my coyens to the villagers for use as munee." This means wage in Outlandish. "I will convince the villagers to use my gold coyens as munee for their trade. My gold will then be in constant demand, no matter how much I produce. I will indeed become wealthy beyond belief!"

"But what is this munee?" The Baker asked gruffly, as he suspiciously eyed the Alchemist, his head thoughtfully cocked to one side while contemplated this strange new concept. The Baker was known to be the wisest man in the village. With that in mind, the Alchemist needed the Baker's support for his new plan, or had little hope the villagers would ever accept it. The sensible Baker though, was having quite a difficult time comprehending this new idea. His village had always used the bartering system of trade. If a villager needed bread, he would work for the Baker, or he would make a trade using an item that was desired by the Baker, such as wheat, or perhaps candlesticks in return for bread. All trade was a matter of negotiating a swap that was acceptable to both parties.

"Munee works like magic." Whispered the wide eyed Alchemist, as he moved closer. "It allows you to trade coyens for merchandise, instead of trading your wares for their wares, or working directly for the person who possesses the Item you need. As a matter of fact, you can work for anyone you wish, and then you can take the munee you've earned and trade it for the things you want. Because my gold is so valuable, one coyen is adequate compensation for an entire day's work. It will be gladly accepted by all"

"Hmmm" Said the baker. "I must admit, this is a very intriguing concept. If munee becomes acceptable to the villagers in the place of their current barter, it would indeed revolutionize our village and make life much more convenient. Please, tell me more."

The Alchemist continued. "Instead of exchanging your bread for the items you want, sell your bread for gold coyen, then you will have munee, to buy what ever you need."

"But how will the villagers get hold of the gold coyens needed to buy my bread?" Asked the Baker.

The alchemist smiled. "The laborers you employ, in your bakery, will get their coins from you, just like the laborers that work in the candlestick factory, will get their coins from the candlestick maker, one for each day they work, eventually all in the village will have plenty of munee to buy bread."

"But where will I get the money to pay my workers?" Asked the Baker, slowly raising his voice, as if he thought the Alchemist was having trouble hearing him.

"You will get your money from the villagers when they come to buy your bread." The baker was indeed puzzled for even though he could see brilliance in