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Costolis

-->Economy

The value of People's time and money. ⇩

+    -  Why your money slowly disapears from your safe bank account ?

◇ Let's talk about money, time, inflation and real consequences on people's life around the world.
One of the main reasons your money seems to disapear from your bank account is by a financial mechanism called inflation.
Contrary to what many people may imagine, inflation is not caused by matches that burn your money (just a metaphor/analogy)

◇ Money volatility is a fact, money can sometimes be seen as the water when submited to high temperatures, it can evaporate from your bank account (...)
Your money (the amount of water in this case) drops very fast when inflation appears.
One example of inflation occurs when the central bank of certain countries decides (for sometimes doubtful reasons ) to print money.

This Money printing has many consequences:

◇ The first one of them is a fast drop in the value of the currency, basicaly the money loses its value.
Regular people become poorer and poorer, they can no longer afford owning a car, a home or paying for grocery ... a lifetime work is eroded and melts like ice cream in the sun
The cost of living becomes unaffordable and there are no jobs to improve the quality of life for the majority of them.
Young people have to live in their parent's homes and do not see a future for themselves nor for their children when they were lucky to have some.

◇ The second obvious consequence is an increased value of the assets of very few people. those assets include among others luxury properties, hotels or very expensive buildings.
Like the rain coming from the sky, money appears suddenly from nowhere for those few "lucky people".
This phenomenon could be seen as a transfer of wealth from your savings to the wealthy owners
Like in chemistry nothing appears and nothing disapears but it simply transforms.
What evaporates from your bank account seems to transform into ice that solidifies the assets of the very fiew.

◇ The money in your bank account is your hard work and a lifetime of savings. sometimes it can also be your family hard work.
Your life can therefore be described as the time and energy you have saved in a bank account for your old days, unfortunatly this saved money seems to be taken from you by the use of some magical financial tricks.

◇ Another indirect but intended conquence of this money printing is the creation of a control-based-system that pumps time and money from the many and concentrate it into the hands of the few.
This creates a pyramidal system where few people own the majority of the wealth while the majority manage to survive. The "advantage" of this kind of system from a "state point of vue" is that it makes easier to manage an entire country by using few leverages or by leveraging the few (...)
On the meantime the system is built on theft and destruction of private properties targeting only the weak who can not protect themselves from unlawfull states ...

To conclude this we can say that Peoples Time is money and money is time and those should not be wasted by finacial tricks to skyrocket the assets value of few already super wealthy Entities.

+    -  How Energy Prices Affect your purchasing power ?

◇ Another way by which the value of your money is lost is done by the rising cost of energy.
When a company wants to sell goods it has sometimes to produce them or import raw materials or even the merchandises themselves.

◇ In order to produce or transport those goods or materials, it needs energy like oil (gas fuel) that fills the trucks or the ships. Energy like electricity for instance could also be necessary for transport and production.
So the question in what happens when the cost of energy rises for those companies?
Uusualy, the company is simply going to transfer the cost to the customers.

◇ Consequently the exact same good is now way more expensive for the customer.
Your money as a customer can now buy less goods in average than it could have had the day before the raised cost of energy.
This becomes a problem either for the supplier who can sell less, and for the customer of course who can buy less. In order not to scare the customers with a direct raise of the Goods price, the company has a buffer time, which means that the price of the Good is not raised immediatly, however it will occur no matter what at time or another because the supplier needs to make money not to lose some in the process

◇ Once the customer is used to this raised price, usualy even if the energy cost for the supplier goes down the Good's price itself will not go back to what it was before the energy cost raise... so your money keeps loosing its value no matter what because everything remains more expensive than before


+    -  How the Cost of energy Affects your Money Savings ?

◇ Now that we have seen how the cost of energy can affect the value of your money from a supplier point of vue, let's try to understand how the cost of energy can affect you in a different way.
First of all, many of the customers need vehicles to go to a supermarket, cornerstores or any supplier they would like to buy something from, whether we are talking about Services or Goods.
Those vehicules require energy like gas (oil fuel) or electricity.
So you have to spend more money to go to your supplier, that means that you need to spend more money to get the products you wanted, therefore transport is another undirect cost added to the price of the products you purchased.

◇ Now Let's talk about your Savings and how energy prices directly affect them.
In order to go to work you usually need to use a vehicle.
If the transportation costs are up due to the increased cost of energy, this automaticaly means that your production costs (or work expenses) are going up as well
At the end of the day you end up asking yourself a simple question is it still worth working as it was before?
The obvious answer is no, it is not as beneficial as it was before the raise of energy prices.
As a worker i'm saving less money for the same work because i have to spend more money when my salary remains the same
This is simply called in finance the cost-benefit ratio .
In This case we can conclude with no ambiguity that the value of our work is depreciated by the cost of energy (...)


+    -  How the Cost of Energy can affect your freedom of movement ?

◇ Many people think that Passports, Id cards, Visas or other travel documents are the main limiting factor for crossing borders, for work, vacation or any other purpose.

◇ This vision is only partialy true, because in fact even if you were to possess the required documents, there is another very important factor you should not forget to take into account : it is the cost of energy.

◇ To explain this point let's a take a simple example, let's imagine you are a businessman who needs to travel to another country for business purposes.
the same idea applies to people who would like to go on vacation to another country, state, province or city (...)
There are many ways to travel and in this case you have chosen to take the plane.

What happens when the cost energy goes up ?
Obviously the plane ticket goes up, the more remote your destination is, the more your plane ticket is going to cost you.

◇ So logicaly people will prefer to avoid the remote destinations if they can, and usualy they will do exactly that.
the same example applies for your personal vehicule where price of gas is forcing you to carefuly choose your destination or even the number of times your will use the vehicule.
We can conclude with this simple example that the cost of energy has a direct impact on your freedom of movement, forcing you to choose shorter destination for vacation or buisness over long and costly destinations. In return of course you can use the saved money for better Hotels, restaurants or entertainement for the your family (...)


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