Five Fictions of Modern Finance

. 1. Money is Wealth: far from it. Money is just a promissory note that others will honour that piece of paper. Meanwhile, the government continues to print more of it and distributing it as per its whims and fancies. 2. IF YOU INVEST IN MONEY, YOUR WEALTH IS PROTECTED: Sorry buddy, your money is depleting in value by the day. You need to invest in assets, and currencies are not assets 3. DEBT IS SAFE: Nothing is farther from the truth. The rate of increase of your money in debt is always less than the rate of reduction in purchasing power. In other words, your real returns from debt which is your nominal return minus inflation, is always negative. 4. GOLD IS A USELESS ASSET, AN UNPRODUCTIVE LUMP OF METAL: On the contrary, gold is currency. Gold is money. So is silver. 5. IT IS UNPATRIOTIC TO BUY GOLD, MODI ALSO SAYS SO : HA HA HA HA... If you believe blindly in patriotism you are either naive and foolish, or in the army. Patriotism is a fiction, just like religion, to keep the masses under subjugation and the rulers in power. All Central Banks including the Indian Central Bank are buying gold at a furious pace while trying to ensure that their citizens don't buy it. Let me know your thoughts