The U.S. Government Doesn't Issue Debt To Raise Money ‒ The U.S. can't go bankrupt.
How Banks Create Money ‒ Banks conjure money out of thin air.
The End of the Gold Standard ‒ Why money is no longer backed by gold.
Beware of Financial Dragons ‒ How to protect against dragon risk.
Money is digits. It used to be backed by gold, but now it's not backed by anything.
Today it's as easy for governments and banks to create money as it is to change the score on the scoreboard.
Digital money gives incredible economic flexiblity and power to governments and central banks.
It also changes how we should think about the national debt, budget deficits and inflation.
Investing is about capturing the upside while protecting against the downside.
Successful investors know their investor type, manage their fears and protect against dragon risk.
Does it feel as if the entire financial system is being run with play money like you find in a board game? That money isn't real anymore? That it's just digits on your bank statement or on a computer screen?
We live in a world where governments and banks create money simply by changing numbers as if they were updating the score on a scoreboard.
Meanwhile, money and the economy have become highly politicized with a staggering amount of misinformation and misunderstanding about how the financial system functions.
My upcoming book Money For The Rest of Us: A Simple Guide To The Global Economy Where Money Is Digits puts aside politics, complex charts and formulas to show you how money and the economy really work using straightforward stories, explanations and analogies.
What I reveal on these pages at times seem unbelievable, but it's the world we live in. The first step to thriving in such a world is to understand it.