Who Is Entitled to the Money Just Created?

But before we go ahead, I call your attention to an important aspect, based on the previous inventory of the wealth of Example Island. I invite you to meditate on it and its consequences from now on while you go ahead.

We have made an inventory of all things that exist and have value; these things have value because they are survival factors.

To honest people survival depends upon production, and the legitimate owners of those things are those who produced them or exchanged them with something of comparable value.

To honest people money has value not because it is value in itself, but only because it represents the value of products, and the possession of money is earned by their production.

As money is a product because of its use in product exchange, its production cost has to be incurred. Its production cost, not its face value. Negligible detail. Supposing its production cost tends to zero, compared with its face value – just as with currency – a little question arises:

Who is the legitimate owner of the money when it gets born? Who is the legitimate owner of its face value purchasing power when it gets born?

Money represents products, and their producers are the legitimate owners of those products. So?

To better put it into perspective, we will also turn the question around to address the current situation – that is: who is the de−facto owner of just born money and purchasing power today, and on what legal basis?

The answer to these questions will surface as we move forward.