Hoarding, Desire, and Money

My previous blog entry touched on the issue of how financial systems relate to our current crisis and its associated suffering. In the Comments section, Steven Sashen pointed to the work of Bernard Lietaer. Like the article I'd quoted (Money and the Crisis of Civilization), Lietaer says that the very way that we've designed and defined "money" is at the root of the problem.

As I said in my own Comment under Steven's... Lietaer isn't some ayahuasca-soaked fringe visionary. He has experience that makes his authority far far greater than my own. But still, since following authorities isn't always a great idea, I'd like to explore and question Lietaer's assertions.

As quoted by Steven, Laietaer writes, "most current money ... engenders hoarding and short-term thinking since you can collect interest by having more money now (with the hope that it will hold you over in the future)."

I can agree with this quote, in that money engenders the "hoarding" of value, just as a refrigerator engenders hoarding of food. But is using a refrigerator a negative thing? Is the negative word "hoarding" really necessary here, rather than say "saving"?

We human beings seem to be wired to desire satisfaction in the moment, moreso than saving for the future. When someone wants money to spend now, our current system allows him to borrow from someone who's been saving it, inducing the deal by agreeing to pay a fee for its temporary use. The effect of this "interest payment" is to counter-balance our desire to spend in the present, increasing the attractiveness of saving (vs immediate spending).

This type of marketplace (borrowing money at interest) is condemned by Islam. Maybe Jesus was criticizing this system also, in saying things like, "... do not worry, saying, 'What shall we eat?' or 'What shall we drink?' or 'What shall we wear?' For after all these things the Gentiles seek. For your heavenly Father knows that you need all these things. But seek first the kingdom of God and His righteousness, and all these things shall be added to you." Again, Mohammed and Jesus are just authorities, and it's up to us the living to think it through for ourselves.

This very fact that "money" allows us to store value for the future may be a benefit of the current system. For instance, say I meet a stranger who could use my help with a computer problem. Since I don't know him, I'm hesitant to "gift" my time and effort to him. And maybe he's got no skills or goods that I want or need at the moment, so bartering isn't possible. But because of "money," he can pay me for my help, and I can "hoard" the payback till some later, more favorable situation. Thus, the money system has made it more likely for me to help this stranger.

I don't think that hoarding vs non-hoarding is the issue. Rather, it's why I'm hoarding. Maybe someone saves money so that when his parents are too old and weak to support themselves with their own labor, he'll be able to take care of them using the money he'd "hoarded" earlier. Can we really label that a bad thing?

If my saving is only for me, then yes, it brings suffering. The same could be said about anything I do only for me. Whatever conclusions we reach regarding the best money system, we can always pursue the Big Question: looking into I/my/me-thinking.