Yuval Noah Harari’s book, Money

A quick summary with 7 key thoughts

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Yuval Noah Harari’s book “Money: The True Story of a Made-Up Thing” (which is a chapter in his book “Sapiens: A Brief History of Humankind”) explores the concept of money as one of the most powerful and universal fiction ever created by humans. Harari explains that money, unlike other forms of barter or trade, is a shared imaginary concept that has no inherent value but is universally accepted as a medium of exchange.

Harari argues that the power of money lies in its ability to facilitate trust and cooperation among large groups of people who do not know each other personally. Money is universally recognized and allows for trade across different cultures and societies. This shared belief in the value of money has made it a central pillar of modern economies and global trade.

Harari also discusses the evolution of money from its earliest forms — like barley and shells — through metal coins and paper currency, to the digital currencies of today. He highlights how money has played a crucial role in unifying diverse societies by enabling the exchange of goods, services, and ideas across vast distances.

However, Harari also warns that money’s power is a double-edged sword. While it enables cooperation on a massive scale, it can also lead to inequalities, exploitation, and a focus on…