What is Money?

"you as an individual can run out of money but society can never run out of money and if the government has gone into debt it is because somebody has accumulated money; it's always in balance"

With regards to interest - Central Banks receive interest on the loans they make, and they also pay interest every day to the holders of money, so this balances out societally and does not take the monetary system out of balance.

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Spoken by Gary Stevenson
GARYSECONOMICS

Uploaded by Simran Mohan
MOHAN MEDIA

TIMESTAMPS
00:00 - Introduction to Money
01:00 - Does Money include Debt
04:00 - Money Creation
06:49 - The Total Amount of Money
10:34 - Our Concept of Money
13:24 - Governments & Money
15:59 - 2 Competing Concepts
18:00 - Inequality in Credit/Debt
21:50 - Money is NOT resources

[garyseconomics]

I am getting some questions on this along the lines of "But doesn't interest throw this system out of balance?"

The answer to that is no - the Central Bank charges interest on the loans it makes, but it also PAYS interest daily to the banks which are holding money - so interest balances out.

More generally, interest can never unbalance the system as a whole - it is merely a transfer from one group of people (debtors) to another group of people (creditors)

Hope that helps

[grahamberrie]

Your voice is so much needed. I drive a taxi and have stuttered through a collective unawareness with hundreds of people trying to make sense of what doesn’t make sense. Most of us are vulnerable, in my mind you are changing this. I wish you well.

[Andyreally]

All those years ago during A level Maths, I remember a really passionate and articulate teacher trying his best to get the concepts across to us, his students.
Thank you Gary for doing the same again 40 years later, it will certainly make a difference to our understanding of this system that we’re in.

[QueenRhaenyra]

As a Uber driver I listen to you video's while taking passengers so we can wake the masses up.

[Google_Does_Evil_Now]

You're the teacher at school that I would have looked forward to being in your lesson so much.
These videos are like a really good school lesson.

[axdunlop]

Economics is shrouded in language ordinary people find difficult to understand, same as many “professions”. This is deliberate, a way of dissuading others from engaging, however when broken down like this by Gary, it really is simple. Falling wages and higher house prices are indeed a symptom of the very same thing, currency devaluation.

[bonfireblossom]

Cheers for this, Gary. I'm training as an accountant and see exactly where you're coming from. It's basic bookkeeping applied to society as a whole.

[ootsrvw]

Thank you from a 78 year old. I had to watch this twice, yes I am a little slow. But when I suddenly understood your argument, it was like a flash of lightning.

[LizbetNene]

More explanatory videos are very welcome - a lot of this debate is inaccessible without this sort of foundational knowledge. Great work as always Gary & team.

[martinbrighton]

Great video. Helps explain that we need to tax that money back.

[maxrevell]

One of the things that drive me mad is this line that government push to try to equate public finances with a household budget (in line with your point about "money running out"). The magic money tree is alive and well!

[whatrtheodds]

Underated channel. As someone who came from hardship and managed with a lotta luck, and a heap of hard work to get out. I appreciate a voice like yours. I see the imbalances, and its very real, and it feeds off itself.

[mmmkadi]

this has been a burning question on my mind recently and I've tried understanding it from my own experiences and perspectives. They way you've analyzed and broke this understandingof money down into content form for me to digest was smoother than drinking water. Thank you for this ultimate perspective of money.

[Freerangerification]

Thanks for this video Garry, i agreed with 95% with what you said, my only gripe is that central banks do not lend out reserves. they are simply a mechanism for settling interbank loans. Prof Steve Keen has some good descriptions of this.
You are a great communicator and these complex ideas will spread widely thanks to your efforts. Keep up the good work !

[davidbowie]

Brilliant Gary. Thanks so much for your clear explanations, that Governments don't want us to know.

[carolineleneghan]

I don't necessarily understand everything (I don't have a mathematical brain unfortunately) but I absolutely love your videos and what you're doing and your passion. Xxx

[jezlawrence]

Money is a promissary note, essentially an IOU from our collective wealth pot, represented by head of state or government.

You should, in theory, be able to go to the royal mint and demand that IOU be changed back into a commonly agreed form of actual wealth.

This used to be pure gold.

Now it's pure faith.

...And that's how we've ended up using debt as the commonly agreed form of actual wealth. Got to replace the underlying promise with *something* or the whole thing is vapourware.

So now it's debt all the way down - which means it IS vapourware - and the trick is to stop anyone diving deep enough to realise that way down there the whole thing is held up by eddies and currents in the sea of debt.

[patriciaaskew]

Thank you for your brilliant explanations. I have been looking for this level of communication for a long time. I think a lot of people are yearning for real understanding which calls out our politicians and shows them (not all of course) to be ignorant and themselves easily manipulated by lack of understanding. We need real knowledge and informed non-ideologues, moral leaders with brave and radical ideas. Please continue to educate us and especially the Labour party.

[moore_news]

Brilliant background info on money to explain the economy in general and also what's happened recently. Gonna need to rewatch some sections to fully grasp it!

[anthonycain]

I noticed you connecting the dots of public sector workers and pay unbalance.
I think this is a very important message that needs to get across especially as mainstream media are covering this and will help Gary's message keep growing