Anton do you remember the other day in Singapore you're talking about what young people do wrong what do you think they could do right it comes down to to a number of things and they are all connected but probably one of the most important things I think it's actually the way people view money right and the way that there's two there's two main problems with most people in the way that they view money the first major problem but I've picked up on over the years is people not really understanding the function of my why it
exists and if you don't understand why money exists and it's real function you tend to have no respect for it and the second thing is actually to do with emotion towards my so having some sort of emotional barrier towards money itself so you know with the first one for example like the for the function of Mike and the purpose of why it actually exists you know we're always told these messages where like for example money is the root of all evil money doesn't make you happy the more money you have the more problems you're going
to have but I just want you to think about it for a second because it's pretty damn obvious okay but people always miss this point just imagine a world that didn't have any money in it at all money obviously has a function and you know in your own time you can go and look at this online because it's pretty well-known amongst people who understand the function of money so look look up the double coincidence of wants the double coincidence of wants is really important to understanding the function of money because without money we say II
live in a barter economy and everything that we're used to consuming in the world now has come about because of the function of money I know it makes society work it's it's something that if you if you understand why it exists to solve the need of the double coincidence of once you respect it more and people don't get this so look up the double coincidence of wants and look up the alternatives so the the the the barter economy you know that's the alternative and you know we're led to believe a lot of the time that
wanting money is a bad thing and people blur the lines between wanting to do better for yourself and your family and that type of greed and the greed of harming or abusing other people and money is the medium through that sit so one in my mind is a positive greed in that you want to do better for yourself and you want to do better for your family in my mind there's nothing wrong with that the other type of greed obviously is not good it's it's a negative greed where you're harming other people to become wealthy
and you don't have to do that you know if you just understand the function of money firstly and respect it you'll realize that money isn't the root of all evil it's greed that's the root of all evil in a negative sense when you're harming other people money has a function and there's a positive greed so again imagine your life or the world without a money in it everything that you consume everything that you experience these days is a fun of the monetary system that's built up over hundreds of years and we've come from the bottle
economy to be where we are today without it society literally would not function so understand it and respect it that's the first thing and understand the difference between positive and negative greet and do the right things and what you've also got to understand as well is money itself in enterprise for example there's only two inputs to enterprise capital and labor and what you've got to understand is that money itself is a commodity and labor is a commodity as well and they both have prices so capital has a price and labor has a price so for
capital the price is interest and for labor it's the price that Labour is willing to work for so there's a labor market and in any enterprise there's just two inputs capital and labor and capital markets are absolutely necessary society would not function without capital markets because capital is a commodity and has a price and it needs to be transacted and it allocates resources as optimally as possible because there's demand and supply for capital and demand and supply for labor and when labor wants too much of the share of enterprise and capital gets to less capital
leaves it goes away and that's not good for labor long term so when you understand the function of money and capital markets you understand that it's absolutely necessary for them to exist because in all circumstances in history when capital has been locked out of the market and left there's been widespread depression money makes society work and the a small problem is that the you know these days it's a very it's very popular to have this view of the world this view of money that this the system is broken and doesn't work well it does because
there is no better alternative it's not perfect but there's no better alternative and just because for example you know someone was born with no capital doesn't mean the system is wrong or unfair they just need to understand the role of money and understand its function so all of these messages that we get about money so money is the root of all evil no it's not Greta's money doesn't make you happy well people that I know and myself have with money who have done quite well for themselves we know that you think that we're not stupid
you know these guys aren't stupid and they absolutely know it doesn't make them happy they're generally speaking exactly the same as they were when they were young and had no money very very exactly the same type of people but they're just a little bit older and a little bit wiser and you know the other sayings so the more money you have the more problems you have well it's just not the case the more money you only have problems if you don't manage your money properly so if you manage it well then you're gonna you're gonna
do okay you're good you're actually probably gonna be more comfortable more relaxed have more freedom more choices and probably help it helps you become happier it doesn't make you happy it just helps you become happier so all these messages that people get told you know constantly growing up this creates the second problem as well so first of all not understanding the function of but secondly also having emotional barriers to money it's it's this is the second problem and actually they I can just go off and I'll I'll come back in a second to illustrate the
point okay alright alright I'll be back I'll be back in a second wait there I can go and get get something and to illustrate the point more accurately okay I'll show you probably mean okay so $20 on the table okay look at it again look at it is this magic trick so when you look at the $20 yeah what do you think of it it's a couple of drinks or a meal or a soon I took him whatever okay yeah but that's what it can buy you sure but what do you actually think of it
yeah so okay okay so not much right right okay now let's move on what about a hundred dollars sure you know again I think about that in terms of what I can buy with it and that okay a night out or going to a nice restaurant yeah whatever so yeah it's like a night out maybe with a few other people like you sure go to a nice restaurant have a few drinks take your family out of whatever right well what do you think of it I mean it's a decent amount of money if I lost
it I'd be a bit annoyed sort of thing okay let's make let's make the stakes higher okay so here's a thousand dollars what do you think of that say it's become a decent amount of money okay yes what's your white a lot what can you buy with a thousand dollars good bye appliances you know things that people typically buy with it yeah phones TVs games consoles well yeah exactly okay let's take this to a slightly higher level five thousand dollars what do you think of the five thousand bucks well it's I mean that is a
lot of money by any objective standards that's like once somebody's monthly or even salary for two months sure quite a few people so what do you think of it again it's you know it's a considerable amount of money for a lot of people now I could put any amount of money down on our table fill I could put ten thousand hundred thousand a million but let's go back to the beginning let's take off the 5100 and go back to the 20 the next question is this what do you think the $20 note thinks of you
nothing it's just money it's just a piece of paper of course you can't think it's a piece of paper with 20 written on it it's a commodity it doesn't think it's a commodity that's used to transact for goods and services to satisfy wants and needs that's all it is okay the problem with it with most people what they don't understand is that all the problems with money exists with them not with the money the money doesn't think anything of you so whether it's $20 $100 thousand dollars $5,000 $10,000 a hundred thousand dollars a million dollars
it doesn't matter because a million dollars or a hundred thousand dollars or ten thousand dollars is just a whole bunch of 20s that think nothing of you so there's no difference except a monetary value so this is that this is the second major problem it's having emotional barriers because the more money I put down on the table the more you think of it because you think automatically what it can buy you to satisfy the wants and needs right the key is to be indifferent so going right back to the beginning understanding the function of money
is very important in order to respect my but at the same time you also have to reduce to zero your emotional barriers and you have to be indifferent now this brings up another interesting point how can you actually be respectful of money but at the same time being different it's kind of contradictory yeah okay but in this context it's not contradictory and I'll tell you why because respect in this context is simply having awareness so it's having awareness of what money actually is and being indifferent to money when you look at it when you see
more and more and more of it and that's the key so being aware and understanding money where it comes from so if you can actually manage to understand it properly and understand its function and be aware and be respectful to it but at the same time being different that's the key to actually starting on the road to becoming successful because money will come to you you will respect it but you also know at the same time what it can accomplish as well and if that makes sense to you yeah then you've got through that barrier
anyway we have a dinner booked at a restaurant so where we should hit the road I'm quite hungry okay
