Aspira University College had on December 13, 2017 an opportunity to host a brilliant businessman and lecturer from the USA. Dr. Gerome Hays from Indiana University – Kelley School of Business spoke on the subject of “The rise of entrepreneurship globally and what it means for emerging economies.”
The Bloomberg Business Review ranks the Kelley School of Business, dr. Hays’ institution, at number 4 out of 3000 business schools in the United States. A doctor of law, an innovator, the initiator of numerous business projects, dr. Hays brings to Aspira over a decade in lecturing and business investment. He came ready and willing to reveal to our students the secret of contemporary international business.
Money is Faith
The value of money, he pointed out, lies in trust. You believe that your money can be exchanged in the future for various goods and services. While the American dollar was pegged to the value of gold, Dr. Hays described its value as “90% based on trust,” whereas this percentage has grown to a full 100% since the gold standard was abandoned. He offered the opinion that the US central bank, the Federal Reserve, has managed the value of the dollar fairly well. The trust created in this process then transferred to the rest of the world’s economy.
A new era brings new challenges. No government authority stands behind cryptocurrencies such as Bitcoin. What supports the value of these modern currencies is nothing but trust given to them by the market forces of supply and demand. Dr. Hays is of the belief that the trend is irresistable. He listed the example of Internet retailer Amazon, which is reported to be considering offering its own cryptocurrency.
This intriguing subject matter, raised amid spiking Bitcoin valuation, raised numerous comments and questions from the audience. A lively discussion went on throughout the rich banquet that followed.