Tuesday, November 6, 2007

Same Old Same Old - So and So...

What's the difference in value between a
One Dollar Bill and a $100 Bill?

Both of them are printed on the same weight paper of the same dimensions, using the same ink in the same colors that won't bleed, made at the same locations by the same people, who speak the same language, earn the same wages, and pay the same damn taxes.

Both bills are backed by the same government with Zero hard assets. The only discernible difference between the $1 bill and the $100 is two extra zeroes. You'd think they'd have absolutely the same value.
You'd be very wrong!

In fact, no matter what price the US Dollar may command in foreign capital markets, whether recklessly high or dangerously low, the $100 dollar bill is precisely 100X more valuable than a $1 bill!!!

You can take that to the bank!

But, WHY? They are exactly the same thing!!!

Sort of. While there doesn't seem to be any tangible difference between these same-in-every-material-way pieces of paper, there is indeed a vast difference in their use and value.

Some may say its all based on illusion, only attributable to massive self-delusion and major marketing efforts. But, I doubt its quite that simple.

I'd argue that it's because the US Dollar is an extremely successful Brand. There is great value in the fact that people agree on its power and integrity.

One thing I know is certain. Its guaranteed that if you collect the whole set you'll become a very rich person. Living a very satisfied life. And, its all based on TRUST. It says so in writing - right there on the back.

Last time I checked TRUST was just one of many non-quantifiable "emotional" values. Go figure.

So let me ask you this... what do you suppose is the real value of "similar to"?

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