The Meb Faber Show - Better Investing David McWilliams on The Story of Money—and Why It Matters for Markets | #610
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Dec 22, 2025 
David McWilliams, an economist and author known for his work with the Central Bank of Ireland, explores the fascinating evolution of money over 5,000 years. He discusses how money serves as a foundational social technology, enabling large-scale cooperation and human progress. Delving into historical anecdotes, he highlights the transformative impact of innovations like coinage and Gutenberg's printing press. McWilliams emphasizes the urgent need for better financial education and the role of trust in economic systems, making ancient concepts relevant to modern markets.
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Money As A Foundational Social Technology
- Money is a foundational social technology that enabled humans to cooperate at scale and drove civilization's progress.
- David McWilliams argues money co-evolved with writing, law, and religion and reshaped human cognition and society.
Ancient Systems Mirror Modern Finance
- Early monetary systems like Sumerian credit and Lydian coinage already included credit, contracts, and numerical exchange.
- These innovations conferred competitive advantages and fostered meritocratic, commercial societies.
Farming Fueled Early Banking
- Farming created seasonal cash shortfalls that seeded banking innovations like credit and fractional reserve concepts.
- Monetization shifted value creation from nature to imagination, enabling large-scale innovation.