Most discussions about economics begin with money. I think that\u2019s a mistake.<\/p>\n
In this video, I explain why money is not the economy, why wealth is not the same thing as money, and why economics has become obsessed with the wrong things.<\/p>\n
Starting with a simple thought experiment about being stranded on a desert island, I explore what really creates value, why energy and human potential matter far more than financial wealth, and why money is simply an accounting system that allows society to organise itself.<\/p>\n
Along the way I explain:<\/p>\n
\u2022 why money is information rather than a thing
\n\u2022 how governments actually create money
\n\u2022 why taxes do not fund government spending in the way most people imagine
\n\u2022 what really limits government spending
\n\u2022 why inflation is about real resources, not simply money creation
\n\u2022 why the purpose of an economy should be to help everyone realise their potential rather than maximise GDP or financial wealth.<\/p>\n
In a narration of a series of essays, I explain economics in plain English without losing the underlying theory. The essays draw on decades of my work on accounting, economics and modern monetary theory, but are written for anyone curious about how our economy really works.<\/p>\n
If we understand what money really is, we can begin asking much better political questions, and perhaps build a society that serves everyone instead of just protecting wealth.<\/p>\n