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AFFORDABLE HOUSING

Money is an idea backed by confidence. And confidence means trust.

When you accept a piece of paper, with something written or printed upon it, as payment for your dome when you sell it, you are obliged to trust that bit of paper to be worth what it says it is worth.

Without that trust or confidence, money as we know it, would not serve as a means of exchange.

Without a means of exchange trade could not occur and we should plunge into a bottomless pit of depression, from which we might never be able to extricate ourselves.

When it comes to accepting a piece of paper as payment for your home which is merely a statement of how much is now owed to you, you are being asked to increase your trust without being told by how much.

Whether you will accept a risk of this magnitude depends upon how much confidence you have in the financial bubble which holds up the economy on that particular day.

You will be inclined to assume that because the bubble has not yet burst it is not going to burst and your gamble is a safe bet.

Unfortunately you do not stop to calculate the speed with which the bubble races towards bursting, when everyone else is making the same assumption.

You reassure yourself that money after all is only an idea backed by confidence, and therefore it doesn't matter all the world if we use credit as a synonym for money, and then we can be so laid back as to use debt as a synonym for credit and as a synonym for money.

We are only changing the idea and it is all virtual money anyway.

Reality is a long way off in time and in place.

It would not be sensible to burst the balloon and collapse into that bottomless pit. But we should be very wise to instruct our Government to create and issue money instead of being so lazy as to tell the banks to create and issue money as credit.

Think on it and then act.