QM025 - Adopting A Multi-Currency Mindset
Hi All,
Here in the US, we think that we can use dollars for everything. Since the USD is the strongest currency in the world, can\u2019t we use it for both spending and saving?
Most of the world doesn\u2019t work this way. When you have a currency in a developing country that doesn\u2019t hold value well, you can\u2019t store wealth over time in that currency. People in these countries have a multi-currency mindset. They spend in the local currency but try to save in US dollars, since dollars hold value better.
Us though? We only think in dollars. Yet we intuitively know that we can\u2019t just save money by keeping it in the bank. We need to \u2018make our money\u2019 grow, right? So we invest it.
Well - investing and saving are not the same thing. And this turns out to have consequences.
Take a listen to learn about how American saving has become financialized, and why people in the US need to start adopting a multi-currency mindset.
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Thanks for listening!
Sean
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