TheAscent of Money
TheHarvard professor Niall pursues the trail of money to describe theindividual tale following the development of the fiscal structure,from its origins in the antique Mesopotamia to the recent mayhems ofthe global finance. Niall illustrates the financial history to play avital back-story in the wake of all history the development ofcredit line and debit was essential just like any technicalimprovement in the increase of evolution. The Harvard professortraces the disaster from the ancient times to today’s Chongqing,offering the intrepid and inducing insights in the growth and fall ofnot just money but also the Western authority. Ferguson says thatthroughout the history of the finance history of the planet finance,the sophisticated global financial system has developed over manycenturies and has shaped the route of human dealings and how theprocedures of the monetary system are functioning to generate what isoutwardly unlimited riches or severe loss.
Theancient empires about 500 years ago had no real concept of money, forexample, the Inca Empire appreciated the ascetic quality of theprecious and rare metals like gold and silver. During the time ofSpanish rule Conquistador Francisco Pizzaro traveled across theAtlantic Ocean in 1532 driven by the tale of El Dourado, he extractedmore than two billons of silver ounces from the mountains such as TheAndes. All the silver was used to finance the war of conquest and themetal lost value in itself and Spain never became richer but theprices of goods increased. No one understood that money is onlyvaluable to what the people are willing to give in exchange. Today,the US dollar bills have the saying on the back “We Trust in God,”and the primary question is whether we trust the secretary for thedepartment of treasury not to repeat the Conquistador failure to seethe value of money. The Americans trust the secretary of finance notrepeats the mistakes of Spain to produce a lot of money to lose theirvalue.
Thehistorian Niall Ferguson argues that there are some common featuresthat are shared during the financial and evolutionary systems. Someof the features are the capability of spontaneous mutation, and thecompetition between individuals. The Bank of Medici illustratesNiall`s theory perfectly well. A family that was deeply embedded inthe business of banking and ruled Florence for many generations andduring their rule supported many thinkers and artists of Renaissance,and many of them turned out to be popes. The Medic family symbolizesthe 500 years of dynastic deception and appeal in banking.
Boththe Medici Bank and Rothschild banks are family businesses. Bothbanks held deposits, conducted the business of bills of exchange,exchanged money and did their businesses abroad. The Medici familybank of Italy and the Rothschild family of Britain held theiroperations in international trading and commerce, and politicalinfluence on consistent estates of clergy, nobility, and army.
Inthese contemporary times of socioeconomic uncertainties, theclear-cut history and what brought the world to the present is acomplete requisite. We such awareness experts have a clear vision ofwhat they expect in future. The examination of the significantwatersheds on the various aspects of financial systems like thedevelopment of credit and creation of Joint Stock Company are theclear picture that each move that was initiated was an effective andrealistic response to the societal and political need.
References
TheAscent of Money: A Financial History of The World by Niall FergusonEpsd 1 5 Full Documentary.(2016). YouTube.Retrieved 11 December 2016, fromhttps://www.youtube.com/watch?v=fsrtB5lp60s
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