On the Further Meaninglessness of Money

There is now more paper money added to the existing pile of money in the world each year, close to $4 trillion. than the value of all the gold mined in human history.

Russia is said to be running their presses at a clip of 57% annually. Where is all this extra money going… or is it just filling the gaps of debt?

A mystery buyer apparently paid $300 million for an Airbus A380 double-decker Superjumbo, with room for 853 passengers. The plan will be for private use, say the reports. A big birthday bash, maybe?

And for $84 million, someone has bought himself the most expensive English house outside of London. The place is in such bad repair, says the notice in MoneyWeek, that the poor buyer will have to spend a fortune fixing it up.

Another person paid $2,600 for an empty prescription drug bottle once owned by Elvis.

With Bono in private equity and people from the U.S. to Malaysia making more money than ever before, I am compelled to wonder if holding gold today sounds just as crazy as it did in 1999.

But with Private Equity firm Blackstone going public, CDOs blowing up all over, Bear Sterns bailing out its hedge funds, authorities such as the Central Bank of Spain telling investors to be careful, the BIS forewarning a possible depression, the Federal Reserve reluctant to touch interest rates, Greenspan warning of a bubble in China, Jeremy Grantham claiming a global credit bubble and good old Warren Buffett afraid to say anything about the markets…

I wonder no longer.

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