Is there a nexus between economics and psychology? This little book by Michael Phillips (The Seven Laws of Money, 1974) suggests yes.
The book explains the laws of money, summarized as follows:
- Money will come when you do the right thing.
- Money must be tracked, and ‘credit’ earned.
- Money is a dream, a fantasy to be recognized as such.
- Money is a nightmare if you do wrong for money.
- You cannot give money away; it comes back.
- You cannot get money as a gift; you will have to repay or pay forward.
- There are worlds without money.
Supposedly, economics is the study of human choice. We therefore choose between money, in whatever form it appears to us, and something else, such as happiness. What we give up for money is its opportunity cost.
But we already know that money can’t buy happiness. So, the big question is: What is the opportunity cost of money?