People who understand the principles of money and banking are more likely to lead happy, successful, fulfilling lives than those who remain ignorant about them.

Here are simple crucial facts about money:

When the supply of money increases faster than the demand for it, prices rise and inflation ensues.

When inflation increases, so too do nominal interest rates. And when interest rates rise, the prices of bonds (and many other types of assets that pay fixed sums) fall.

You need to understand the basics of money, banking, and finance to succeed in your business.