In episode 2 of the Hidden Secrets of Money, Mike takes us to Greece to learn when, where and why currency became money. You’ll also learn about one of the most predictable long-term economic cycles – the Seven Stages Of Empire. Then join Mike at a private meeting in London where he lets you connect the dots of the seven stages across the last 140 years of our own monetary history.

An understanding of the past gives us foresight. This is particularly significant when studying the rise and fall of markets. Monetary history is cyclical, a never ending process of currencies rising to prominence and then collapsing as the pendulum swings back and forth between quality money and quantity currency.

How does the cycle play out? It usually begins with a monetary system and economy based on a commodity like gold — the supply of which can increase slowly, as the economy grows. But, as time moves on, the system moves away from gold as the source of underlying value of its currency. Eventually, the system completely replaces gold with fiat money (e.g. paper money backed by nothing with any intrinsic value), which can be printed without restraint. Thus, the value of each unit of currency is debased over time, which ultimately leads to a market crash.

Refer to post #122

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