Money is an IOU. Whether it is gold and silver, paper money, or electronic coins, it is essentially IOU. The status of gold and silver, paper money, and electronic coins are equal, and the "gold standard currency" theory is wrong.

Suppose there are only two families in the world, the American couple and Lao Hua couple, and they started to do their own things and were self-sufficient. One day, the Americans caught 4 fish and Lao Hua caught 8 birds. The Americans wanted to taste the taste of birds, and Lao Hua wanted to taste the fresh fish, so they exchanged them. The Americans exchanged 2 fish for Lao Hua's four birds. They often exchanged this way in the future.

One day, the Americans were lazy and didn't go to catch fish, so they slept at home for a whole day. In the evening, Lao Hua caught the birds and went home. The Americans had nothing to eat, so they asked Lao Hua to borrow birds to eat. The Americans found a bark and wrote on it: 2 fish. After arriving at Lao Hua's house, they said to Lao Hua: "I'll exchange you for 4 birds. However, I was sick today and couldn't catch fish. I'll give you two fish IOUs." Lao Hua said, "That's easy to say." He accepted the IOUs and gave the four birds to the Americans. The Americans went back and ate happily.

The Americans tasted this sweetness and slept at home for another day the next day. At night, they exchanged 2 fish IOUs for 4 birds. After the exchange, the Americans said to Lao Hua: "In the future, we won't write 2 fish on the IOUs. This IOU was made by the Americans, so I will write 2 US dollars in the future." Lao Hua agreed happily. In the future, IOUs will be expressed in US dollars, and this will be done day after day.

According to the principle of commodity exchange, commodity exchange should be exchange of goods, commodities for goods, rather than exchange of money and goods. The Americans exchanged money for Lao Hua's birds, and Lao Hua got money. This is not the whole process of commodity exchange, but just half of the process. Lao Hua has money from the Americans, which means that the Americans still owe Lao Hua's fish. Therefore, the essence of money is IOU. After Lao Hua bought the Americans fish with money, the entire process of commodity exchange ended. This process is that the Americans exchanged fish for Lao Hua's birds. If Lao Hua never used money to exchange for the Americans birds, then the Americans would take a big advantage and eat and drink Lao Hua's for nothing. However, here, the Americans tried to never let Lao Hua take money to him for physical goods.

As time goes by, Lao Hua has saved a lot of money. The Americans are afraid that Lao Hua will exchange for physical goods, so they said to Lao Hua: "In the transaction between us, you have a surplus. The surplus is very beneficial to you, and you have to keep it." Lao Hua was very happy when he heard this, so he couldn't bear to exchange for physical goods. Lao Hua didn't remember to ask: "You have a deficit. Since the deficit is not good, why do you always maintain the deficit?"

Another day, the Americans felt that four birds were not enough to eat, so they wrote 3 US dollars and bought 6 birds at Lao Hua's house. The Americans had 6 birds to eat a day, but Lao Hua had only 2 birds to eat, which was so hungry. But when they thought that they had so much money in their hands, they could buy a lot of things at Lao Hua's house, which was enough to support themselves, they felt that it was worth it.

In the past, Qin used its authority to often train traitors for various countries. Foreign princes and nobles went to Qin, and Qin educated them: "In the future, as long as Qin fights with your country, you will cede land, which is the most beneficial to your country." After returning to their own countries, these princes and nobles were appointed to important positions because they were studying in Qin and were full of knowledge. Later, as long as Qin's soldiers suppressed or a letter of conquest arrived, these countries immediately ceded land. Now, the United States' theory of "profitable surplus" was brought to the world by international students from various countries, and it became the mainstream economic theory. The United States relied on printing money to buy things from various countries, and all countries guarded the US dollar like treasures, and they were reluctant to spend it. The United States was secretly proud.

After a long time, Lao Hua found that some of the money given to him by the Americans was worm-eaten, and thought that the Americans exchanged these IOUs for physical goods. The Americans said to him: "These money is wealth, how can you spend it easily? You are too luxurious. Don't worry that I can't afford to exchange for you. I am very rich. Look at what I eat and drink, which one is better than you?" While saying that, pointing at the bags of bird jerky in the house and saying: "Look, I have it."

What else are you worried about with so much wealth? I can completely afford you. Don’t worry. I swear with my personality. I will never breach the contract. But what do you have? You are just a pauper, hungry and swaying every day. I feel pitiful. As the saying goes, the poorer you become, the more you are, I worry about your credibility." After the American said that, he suddenly felt that he was not good, and immediately changed his words and said, "Of course, you are just poor on the surface, but in fact

You are very rich, you have so many foreign exchange reserves. Look at what I have, I owe a lot of debts. I feel that you are seriously threatening to my status as the richest in the world." Lao Hua was said by him, as if he had drunk two taels of old white kids in one sip, and he felt dizzy. The American said again: "This fully shows that you are on the right path. You have to continue to move forward in the future. Our trade is mutually beneficial. We must be prosperous together." Lao Hua was extremely grateful and hurriedly expressed to the American: "Don't worry, I am a responsible person, and I will never lose my trust!" The American pointed to the money in Lao Hua's hand and said: "Since this money has been eaten by insects, I will write a bond for you. It is my lent you to pay you generous interest, and pay it back a year later." When Lao Hua heard this, it was cost-effective, so he changed a bond back. Their transaction continued normally.

Finally one day, Lao Hua woke up a little. He thought: "The American guy doesn't do anything every day. He eats and drinks all my food and drinks. He lives more moister than me. All I get is tree bark. And he always tries every means to make up various theories and not let me exchange them for physical goods. If he can't exchange them, he can only use firewood to burn them. Forget it, he won't trade with him in the future."

In the evening, the Americans took another 3 dollars to buy birds. Lao Hua refused to give it to him. The Americans said, "If you don't sell it to me, I will starve to death, and then all the US dollars and bonds in your hands will be ruined. You must know that saving me now is to save yourself." After hearing this, Lao Hua had no choice but to trade with him.

Do you still continue to trade with the United States or not? Lao Hua was so worried, but he had to pretend to be very wise in front of his wife.

A year passed in a blink of an eye. Lao Hua's wife took out the bond from the United States and urged Lao Hua to collect the debt. She also gave Lao Hua a large carrying US dollars and asked him to buy more things at the American home. Lao Hua was afraid of reducing foreign exchange reserves and did not want to buy things, so the couple started arguing about this matter. Lao Hua's wife shouted: "What's the use of keeping these US dollars? In the future, you are not allowed to ask for his US dollars again, nor are you allowed to ask for his bond again!"

The voice came to the next door, and the American was scared to death. He said to his wife: "I'm not afraid that they will come to collect the debt. I just need to pay him back as much as I want. To be honest, I don't need to borrow from them at all. No matter what I buy, I just need to make money and pay the bills. In fact, whether it's the bonds I sent out or the US dollar, they are essentially bonds, which indicate that I owe them what I owe. The reason why I borrowed from them is to act, let them know that I'm very cautious about making money, not making money easily, and I don't make money to buy things to maintain their trust in the US dollar. What I fear most is that they suspect that I'm making money randomly, making money to buy things, not trusting US dollars, and not accepting US dollars. Secondly, what I'm afraid of is that they exchange US dollars for physical goods. If we want to empty us, we can't take advantage of them in vain. We have to think of a way to make them continue to believe and accept US dollars, and we can't let them exchange them for physical goods."

So the couple muttered for a while, and then started a fight loudly. The American wife scolded the American loudly: "You can eat and drink, and you don't save money. You owe you all the debts. What you owe, I will pay for it. My God, I can't do this day, I have to hang it!" The American also scolded his wife loudly: "You broom star, you know how to blame me. You apply makeup and powder every day, wear red and green. I let you save money. Did you listen? You know that you asked me to borrow money every day, where will I borrow? Look at Lao Hua's family, that's what the house is, and that's what the house is rich, and the money is too bad. If you spread your woman, I'll be bad for eight lifetimes. I won't live anymore, and I have to hang it!"

The couple next door heard it clearly and thought: "You must not die. If you die, we will ask who will ask for debts! If you are short of money, come and borrow as soon as possible. There are so many loans, and there is absolutely no limit. To save you is to save ourselves." After thinking about it, Lao Hua said to his wife: "They are so pitiful that they can't just fall down like this. They are embarrassed to come and borrow money, so let's take the initiative to send it. There is a bird at home, so give it to them too." Lao Hua's wife nodded repeatedly.

So the couple picked up a large hug of US dollars and the only bird left at home, went to the American house, and said to them, "Let me give it to you for emergency treatment." After that, the couple turned around and left.

The American couple was behind, looking at their backs, and they were very happy. The American said: "This fool deserves to be poor!
Chapter completed!