Explain to an idiot. Why was money worth significantly more for example 100 years ago?

Explain to an idiot. Why was money worth significantly more for example 100 years ago?

Attached: MW-EY056_dollar_20161017211422_ZH.jpg (890x501, 182K)

inflation

more people

Because there was less of it and less people using it. Inflation is the term used to show a currency's diminishing value over time

Money supply grows faster than the economy,
Also read wikipedia you asshat

Making money worth less over time means People will spend their money instead of saving it, thus keeping the gears of the economy grinding.
Hence the inflation caused by printing more money, and the reason why they no longer use the gold standard, there is only x gold and money can be printed and printed

So, simply put, let's say 1 dollar is worth a piece of America's gold stock (how it used to work, now it's worth it's percent of the economic strength of a country but let's ignore that) so, 1 dollar would be worth 100% of the value if there was only 1 dollar, but if you printed 10 dollars it would only be worth 10%, the more the money is printed the less gold it relates to, $100=1%, $1,000=0.1% ect

Because especially in the US you just keep printing more and more of it just creating money out of paper and ink. So the more money floating about the less value it has. Let's say there's 10 people want to buy a pair of jeans. There are only 6 pairs of jeans available, so the value of the jeans are going to be higher than if there was 20 pairs of jeans available. You see that's how recessions are created. The bankers start taking money out of the system so less becomes available. Creating an artificial collapse. Then when they have the economy on its knees. They create a fantasy thing up, this time it was called quantitive easing and start printing money as fast as they can. Here's the best bit though, the fed gets a bunch of ink and a big roll of paper and let's say the create 1 billion dollars from the ink and paper. Then they sell it to your government for 1 billion dollars plus the interest for the time it takes back to pay it. When the citizens of the world realise their federal reserves or bank of England's are privately run organisations and don't belong to their governments. They will start realising we're greeting the piss took out of us in a massive way by these fucking criminals.

Thank you all for helping out your retarded brother.

How much did you pay for your tinfoil hat?

>tinfoil
foil is aluminum now, Grandpa

Population growth, diminishing resources (including jobs), increased debt from gov, businesses and individuals (which creates money), central banks creating money to foster economic expansion and stability. These factors in combination have resulted in an unprecedented expansion of the money supply since the 1970s.

Adults thinking money comes from printing them on paper or stamping metal discs.

Money is debt fools.

Money is simultaneously a liability and a asset.

Less money, and people used to represent the countries' value. Over time, money production grew faster than the value of the people owning it.
This also devalued the country the money represented resulting in a downward spiral of the country and its currency the extent of which is not yet known.

This is wrong.

Fpbp

this.
money is a token that you can basically exchange for work (work is needed to create goods).

Quiet brain!

udtj

>foil is aluminum now

which is because, unlike tin, aluminum does not keep your brain safe from the mind melting, brain washing waves being put out by all these "cell" towers. this was changed intentionally to make it harder for regular people to protect themselves.

Jews and niggers.

I can't explain to an idiot. You wouldn't understand anything I am telling you.

govt print more money for more spending and wage rises which lead to inflation

People also forgot to mention that the us was also using the gold standard up until 1933

President Nixon was in office in 1933? Thats news to me

That's an interesting question OP. But I have one that will boggle your mind.
How about land, real estate, and commodities like gold and silver.
I would think gold, silver and diamonds would hold value better then a piece of paper backed by "iou's".

It's a totally worth the same comparativly.

It's called buying power.

The cost of things rise and fall with the supply and demand, the actual number assigned is just a measurement of buying power relative to the totality of all the numbers (amount of total money in circulation)

>up until 1933
Try 1971.

Diamonds are actually pretty bad as a store of value. The price is kept artificially high by a cartel that controls the supply of new diamonds.