In all of literature, there is no greater passage to describe the root of all good in the world, and I think most will be somewhat surprised.Â In my estimation, there has never been a better description of the moral root of capitalism, and indeed, of money.Â The author chose to use the character Francisco dâAnconia to deliver this enduring statement on the moral good that is money.Â For once, in a quiet moment of contemplation, you should consider the piercing logic of this statement â this little speech of a character in a book â and consider how it applies to your life and to the world around you, and when youâve considered it, you should evaluate what youâve been taught before and wonder at how you may have been misled:
âSo you think money is the root of all evil?â said Francisco dâAnconia. âHave you ever asked what is the root of money? Money is a tool of exchange, which canât exist unless there are goods produced and men able to produce them. Money is the material shape of the principle that men who wish to deal with one another must deal by trade and give value for value. Money is not the tool of the moochers who claim your product by tears, or of the looters, who take it from you by force. Money is made possible only by the men who produce. Is this what you consider evil?
âWhen you accept money in payment for your effort, you do so only on the conviction that you will exchange it for the product of the effort of others. It is not the moochers or the looters who give value to money. Not an ocean of tears nor all the guns in the world can transform those pieces of paper in your wallet into the bread you will need to survive tomorrow. Those pieces of paper, which should have been gold, are a token of your honorâyour claim upon the energy of the men who produce. Your wallet is your statement of hope that somewhere in the world around you there are men who will not default on the moral principle which is the root of money. Is this what you consider evil?
âHave you ever looked for the root of production? Take a look at the electric generator and dare tell yourself that it was created by the muscular effort of unthinking brutes. Try to grow a seed of wheat without the knowledge left to you by men who had to discover it for the first time. Try to obtain your food by means of nothing but physical motionsâand youâll learn that manâs mind is the root of all the goods produced and of all the wealth that has ever existed on earth.
âBut you say that money is made by the strong at the expense of the weak? What strength do you mean? It is not the strength of guns or muscles. Wealth is the product of manâs capacity to think. Then is money made by the man who invents a motor at the expense of those who did not invent it? Is money made by the intelligent at the expense of the incompetent? By the ambitious at the expense of the lazy? Money is madeâbefore it can be looted or moochedâmade by the effort of every honest man, each to the extent of his ability. An honest man is one who knows that he canât consume more than he has produced.
âTo trade by means of money is the code of the men of good will. Money rests on the axiom that every man is the owner of his mind and his effort. Money allows no power to prescribe the value of your effort except the voluntary choice of the man who is willing to trade you his effort in return. Money permits you to obtain for your goods and your labor that which they are worth to men who buy them, but no more. Money permits no deals except those to mutual benefit by the unforced judgment of the traders. Money demands of you the recognition that men must work for their own benefit, not their own injury, for their gain, not their lossâthe recognition that they are not beasts of burden, born to carry the weight of your miseryâthat you must offer them values, not woundsâthat the common bond among men is not the exchange of suffering, but the exchange of goods. Money demands that you sell, not your weakness to menâs stupidity, but your talent to their reason; it demands that you buy, not the shoddiest they offer, but the best your money can find. And when men live by tradeâwith reason, not force, as their final arbiterâit is the best product that wins, the best performance, the man of best judgment and highest abilityâand the degree of a manâs productiveness is the degree of his reward. This is the code of existence whose tool and symbol is money. Is this what you consider evil?
âBut money is only a tool. It will take you wherever you wish, but it will not replace you as the driver. It will give you the means for the satisfaction of your desires, but it will not provide you with desires. Money is the scourge of the men who attempt to reverse the law of causalityâthe men who seek to replace the mind by seizing the products of the mind.
âMoney will not purchase happiness for the man who has no concept of what he wants; money will not give him a code of values, if heâs evaded the knowledge of what to value, and it will not provide him with a purpose, if heâs evaded the choice of what to seek. Money will not buy intelligence for the fool,Â or admiration for the coward, or respect for the incompetent. The man who attempts to purchase the brains of his superiors to serve him, with his money replacing his judgment, ends up becoming a victim of his inferiors. The men of intelligence desert him, but the cheats and the frauds come flocking to him, drawn by a law which he has not discovered; that no man may be smaller than his money. Is this the reason why you call it evil?
âOnly the man who does not need it, is fit to inherit wealthâthe man who would make his own fortune no matter where he started. If an heir is equal to his money, it serves him; if not, it destroys him. But you look on and cry that money corrupted him. Did it? Or did he corrupt his money? Do not envy a worthless heir; his wealth is not yours and you would have done no better with it. Do not think it should have been distributed among you; loading the world with fifty parasites instead of one, would not bring back the dead virtue which was the fortune. Money is a living power that dies without its root. Money will not serve the mind that cannot match it. Is this the reason you call it evil?
âMoney is your means of survival. The verdict you pronounce upon the source of your livelihood is the verdict you pronounce upon your life. If the source is corrupt, you have damned your own existence. Did you get your money by fraud? By pandering to menâs vices or menâs stupidity? By catering to fools in the hope of getting more than your ability deserves? By lowering your standards? By doing work you despise for purchasers you scorn? If so, then your money will not give you a momentâs or a pennyâs worth of joy. Then all things you buy will become , not a tribute to you, but a reproach; not an achievement, but a reminder of shame. Then youâll scream that money is evil. Evil, because it would not pinch-hit for your self-respect? Evil, because it would not let you enjoy your depravity? Is this the root of your hatred of money?
âMoney will always remain an effect and refuse to replace you as the cause. Money is the product of virtue, but it will not give you virtue and it will not redeem your vices. Money will not give you the un-earned, neither in matter nor in spirit. Is this the root of your hatred of money?
âOr did you say itâs the love of money thatâs the root of all evil? To love a thing is to know and love its nature. To love money is to know and love the fact that money is the creation of the best power within you, and your passkey to trade your effort for the effort of the best among men. Itâs the person who could sell his soul for a nickel, who is loudest in proclaiming his hatred of moneyâand he has good reason to hate it. The lovers of money are willing to work for it. They know they are able to deserve it.
âLet me give you a tip on a clue to menâs characters: the man who damns money has obtained it dishonorably; the man who respects it has earned it.
âRun for your life from any man who tells you that money is evil. That sentence is a leperâs bell of an approaching looter. So long as men live together on earth and need means to deal with one anotherâtheir only substitute, if they abandon money, is the muzzle of a gun.
âBut money demands of you the highest virtues, if you wish to make it or keep it. Men who have no courage, pride or self-esteem, men who have no moral sense of their right to keep their money and are not willing to defend it as they defend their life, men who apologize for being richâwill not remain rich for long. They are natural bait for the swarms of looters that stay under rocks for centuries, but come crawling out at the first smell of a man who begs to be forgiven for the guilt of owning wealth. They will hasten to relieve him of the guiltâand of his life, as he deserves.
âThen you will see the rise of the men of the double standardâthe men who live by force, yet count on those who live by trade to create the value of their looted moneyâthe men who are the hitchhikers of virtue. In a moral society, these are the criminals, and the statutes are written to protect you against them. But when a society establishes criminals-by-right and looters-by-lawâmen who use force to seize the wealth of disarmed victimsâthen money becomes its creatorsâ avenger. Such looters believe it is safe to rob defenseless men, once theyâve passed a law to disarm them. But their loot becomes the magnet for other looters, who get it from them as they got it. Then the race goes, not to the ablest at production, but to those most ruthless at brutality. When force is the standard, the murderer wins over the pickpocket. And then that society vanishes, in a spread of ruins and slaughter.
âDo you wish to know whether that day is coming? Watch money. Money is the barometer of a societyâs virtue. When you see that trading is done, not by consent, but by compulsionâwhen you see that in order to produce, you need to obtain permission from men who produce nothingâwhen you see that money is flowing to those who deal, not in goods, but in favorsâwhen you see that men get richer by graft and by pull than by work, and your laws donât protect you against them, but protect them against youâwhen you see corruption being rewarded and honesty becoming a self-sacrificeâyou may know that your society is doomed. Money is so noble a medium that it does not compete with guns and it does not make terms with brutality. It will not permit a country to survive as half-property, half-loot.
âWhenever destroyers appear among men, they start by destroying money, for money is menâs protection and the base of a moral existence. Destroyers seize gold and leave to its owners a counterfeit pile of paper. This kills all objective standards, and delivers men into the arbitrary power of an arbitrary setter of values. Gold was an objective value, an equivalent of wealth produced. Paper is a mortgage on wealth that does not exist, backed by a gun aimed at those who are expected to produce it. Paper is a check drawn by legal looters upon an account which is not theirs: upon the virtue of the victims. Watch for the day when it bounces, marked: âAccount overdrawn.â
âWhen you have made evil the means of survival, do not expect men to remain good. Do not expect them to stay moral and lose their lives for the purposes of becoming the fodder of the immoral. Do not expect them to produce, when production is punished and looting rewarded. Do not ask, âWho is destroying the world?â You are.
âYou stand in the midst of the greatest achievements of the greatest productive civilization and you wonder why itâs crumbling around you, while youâre damning its life-bloodâmoney. You look upon money as the savages did before you, and you wonder why the jungle is creeping back to the edges of your cities. Throughout menâs history, money was always seized by looters of one brand or another, whose names changed, but whose method remained the same: to seize wealth by force and to keep the producers bound, demeaned, defamed, deprived of honor. That phrase about the evil of money, which you mouth with such righteous recklessness, comes from a time when wealth was produced by the labor of slavesâslaves who repeated the motions once discovered by somebodyâs mind and left unimproved for centuries. So long as production was ruled by force, and wealth was obtained by conquest, there was little to conquer. Yet through all the centuries of stagnation and starvation, men exalted the looters, as aristocrats of the sword, as aristocrats of birth, as aristocrats of the bureau, and despised the producers, as slaves, as traders, as shopkeepersâas industrialists.
âTo the glory of mankind, there was, for the first and only time in history, a country of moneyâ and I have no higher, more reverent tribute to pay America, for this means: a country of reason, justice, freedom, production, achievement. For the first time, manâs mind and money were set free, and there were no fortunes-by-conquest, but only fortunes-by-work, and instead of swordsmen and slaves, there appeared the real maker of wealth, the greatest worker, the highest type of human beingâthe self-made manâthe American industrialist.
âIf you ask me to name the proudest distinction of Americans, I would chooseâbecause it contains all the othersâthe fact that they were the people who created the phrase âto make money.â No other language or nation has used these words before; men had always thought of wealth as a static quantityâto be seized, begged, inherited, shared, looted, or obtained as a favor. Americans were the first to understand that wealth was to be created. The words âto make moneyâ hold the essence of human morality.
âYet these were the words for which the Americans were denounced by the rotted cultures of the lootersâÂ continents. Now the lootersâ credo has brought you to regard your proudest achievement as a hallmark of shame, your prosperity as guilt, your greatest men, the industrialists, as blackguards, and your magnificent factories as the product and property of muscular labor, the labor of whip-driven slaves, like the pyramids of Egypt. The rotter who simpers that he sees no difference between the power of the dollar and the power of the whip, ought to learn the difference on his own hideâas, I think, he will.
âUntil and unless you discover that money is the root of all good, you will ask for your own destruction. When money ceases to be the tool by which men deal with one another, then men become the tools of men. Blood, whips and gunsâor dollars. Take your choiceâthere is no otherâand your time is running out.â
From Ayn Randâs magnificent novel Atlas Shrugged