Making Money

Did you know the US was the first country to use the term “making money.” But we actually don’t make money, we create wealth. People often confuse the terms. And that is a bad thing. Because we associate people with a great deal of wealth as hoarders and taking money and opportunity away from others, when that is far from the truth
Lets use an example. Lets say Bob has saved up a lot of money and Bob wants to build a building to start a business. So Bob spends a million dollars on a building. After the building is done, we say Bob has a million dollar building. Or a million dollars in wealth But Bob no longer has a million dollars. Bob gave his million dollars to the concrete guys, the siders, the electricians, the roofers, the architects, the engineers and countless others. Bob’s million dollars in now improving the lives of hundreds if not thousands of people. And Bob has a million dollar building. So we essentially have 2 million dollars now. One in the form of money. The other in the form of wealth.
So Bob’s risk on his real estate venture actually transferred money to others. And that money is now turning in the economy. Maybe a roofer was able to finally buy a new car. Maybe the concrete guy took his family on a vacation to Disneyland. So now lets take it out one more degree. The Salesman at the dealership who sold that car was able to buy a ring for his fiance. The Disneyland cast member got some overtime and was able to take his girlfriend out to dinner. The money keeps moving forward.
Now this is not even counting the people who are working for Bob in his building who are making weekly incomes because of Bob’s decision to invest. The money just needs to turn. It has nothing to do with how much Bob has. It has everything to do with spending the money and creating wealth. If we want to end poverty, taking Bob’s money will not work. We need to have Bob and others like Bob invest their money so we can create more wealth for everyone.