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My favored quote in regards to cash comes from the British novelist W. Somerset Maugham: Money is like a sixth sense without which we cannot make a finish use of the other five. There are in all likelihood millions of wage earners who wish they could use their five basic senses to see, hear, smell, taste and touch life without any concern for the requirement of financing their life, but cash is a stern taskmaster who keeps their noses to the grindstone. Even the engaged in a struggle artisan who abhors capitalism and the cash chase ought to find the cash to buy his canvas and oils so he may lose himself in his craft. Art surely offers appeal as an action that is more creative, inspiring and noble than the pure pursuit of making money, but the unfeigned capitalist or capitalist may paint with joy on a much more prominent canvas when he knows and perceives that cash has no actual value in the marketplace, or real meaning in the dandier system of life. Money is but a tool that does the bidding of it is master. Money is neither good nor evil. In any drug transaction, cash is not the evil element. In the payment of wages for time spend working in honorable labor, cash is not our savior. We may make cash the right way or the wrong way. We may spend cash productively or unproductively. We may aid humans or injure people in our use of money. Money has no actual value other than the value we attach to it. The barter scheme would still be practiced today if the players did not agree to set a value on a piece of printed paper that represented the value of the goods and services they had to offer. When the users of cash lose faith in their currency, it is value drops sharply, causing inflation. When the productivity of a country stalls, it is currency on the world market plunges, again causing inflation. Money has no actual meaning other than the meaning we attach to it. Our rational mind tells us that a surplus of cash may not buy us love, respect, wonderment or health, yet we recognise that an abundance of cash may buy us opportunities, financial freedom, better health care, better housing, better nutrition and a more commodious lifestyle. Here starts the connection amidst rendering service and making money. We recognise that not one thing in our material world may come from nowhere or go nowhere, nor may it be free as there is a price to be paid. Our government may render us service through it is employees, but our government is never a source of goods. Everything devised is developed by the persons and everything that a government gives to it is humans it ought to initial take from it is people. The only cash that government has to spend is cash taxed or borrowed from people’s earnings. Earnings come from productivity. All productivity is based on natural resources, humane energy and tools. Tools are the only element among the three elements that is limitless. The necessary tool that is employed to manufacture productivity is money. Businesses and organizations need to comprehend that you recognise what drives their existence; it is not giving service, it is taking in revenue to aid what they are doing. Service is merely a by-product of making money. Do not let businesses or public service organizations fool you into thinking that they subsist to aid or serve people; helping or serving humans is plainly a by-product of generating sufficient revenue to be in a position to do so. There are numerous humans in government supplying services who would have you believe that their crucial mission in life is to render service, but if they believe this, they do not understand much with regards to our economy and it is role in their survival. The indispensable role of any business or governmental unit, big or small, is to find and keep a revenue source. Without a budget to formulate programs and hire the humans (employees) to deliver the programs (services), there would be no services delivered. When budgets are cut, programs and the laborers to deliver them are reduced, and departments get reorganized. Clearly, the world turns on a dollar bill. I am not judging what causes our economy to work (greed is it is biggest motivator), but I am proposing we need to be street smart in regards to how our cash scheme works. Here is another sobering thought: Our entire economy and all of it is workers are devised by less than 5% of our population, and not a single one of the 5% work for government, or any other public service organization. That is because not one thing happens in our economy until a product or service is sold to satisfy a want or need, and less than 5% of the income generators in our economy are professional sales people. Non-profit corporations and governmental units have no profits to tax as any net profit generated by them ought to be reinvested. There would be no net income to tax unless business developed the profits to be taxed, and developed the jobs that also devised taxes from the wages earned by the workers. Seen this way, true capitalists and investors understand business is as much regarding art as it is with regards to science. The outstanding business humans and giants of industry in our country are not genuinely the bean counters and tech heads, they are the masters who paint on an economic canvas much more spectacular than that of the solitary artist. The solitary artisan brings about an oil painting on a canvas. The originative business person takes the canvas to market and gives rise to more probabilities for the artisan to ply his craft. H. L. Mencken was fond of saying “never underestimate the stupidity of the American people”. I do not belong to that group and neither ought to you; that is why it is indispensable that you grasp the cash game even if humans around you do not. Understanding the cash game does not make us better or smarter people than others, it does make us more conscious and savvy when chance knocks on our door. Copyright © 2006 Ed Bagley
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