Captain’s Journal “ Ahoy Mates” Stardate 20200422 @ 0900 N 34 degrees W 117 degrees

Posted: 2020/04/22 in Uncategorized

monopoly

Holy “Theory of Profit” Batman, where is your face mask: David Ricardo’s theory in the “Monopoly” game is being replaced with digital currency and social distancing. Do not call the commissioner, she might implement martial law!

Here is a sample of what the Captain thinks about when out to sea.

I realized why they call Board Games, bored  games ( paronomasia intended). What might the inventors have been trying to convey?  What are some of the principals learned from a simple bored game called Monopoly?

In Ricardo’s Theory of Profit, Ricardo stated that as real wages increase, real profits decrease because the revenue from the sale of manufactured goods is split between profits and wages. He states in his Essay on Profits, “Profits depend on high or low wages, wages on the price of necessaries, and the price of necessaries chiefly on the price of food.” Who knew?

While playing Monopoly today, most of us don’t understand the roots of the game.  Back in 1817 economist Ricardo contributed to the development of theories of rent, wages, and profits.  He defined rent as “the difference between the produce obtained by the employment of two equal quantities of capital and labor.”

 

 This next paragraph you might want to skip, because it might hurt your head due to the complexity of it and your lack of understanding money…

Ricardo believed that the process of economic development, which increased land utilization and eventually led to the cultivation of poorer land, principally benefited landowners. According to Ricardo, such premium over “real social value” that is reaped due to ownership constitutes value to an individual but is at best a paper monetary return to “society”. The portion of such purely individual benefit that accrues to scarce resources Ricardo labels “rent”.

Surprise! To most of us semi privileged Baby-boomers who live in the United States grew up playing the board game of Monopoly and got good at the principals of the game.

Hold onto your Smartphone’s kids it’s about to go crypto. Monopoly money never existed; however, cheating, greed, and the lust for more did exist as we insisted our rents be paid or we will lose the game. Our will to win at the demise of family and friends was never given a second thought and the way to win.

Now we have inflation, interest, and insurance added to the game, but the game is real life and the rules change continually just like in the board game.

As I was pondering the game of Monopoly my question was, “Do we cut down more trees and stop breathing to make more paper money, or send sustainable fiat money that is government-issued, created by our developed technology across a electronic network of machines?” I guess the third choice would be to barter goods and be subjected to pirates.

My choice is sustainable electronic money because money for me, is a tool to exchange goods with.  Money’s value is utility based on demand and scarcity. Interest, inflation, and insurance will always deplete the coffers and has nothing to do with exchange. I can not remember the last time I sent Amazon cash…

The Bible mentions money over 800 times and of all of Jesus’ parables, more than half of them talked about money.

The silver coin is an example in the Bible.

Quia precium sanguinis est “This is the price of blood” Then one of the Twelve disciples of Jesus — the one called Judas Iscariot — went to the chief priests and asked, “What are you willing to give me if I hand him over to you?” So they counted out for him thirty silver coins.

The Bible infers that God cares more about our attitude toward money than about money itself.  I guess monopoly teaches that too.

I hope you enjoyed the break… Follow above and we will see you next week God willing.

 

Disney Dollar front

 

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