Is Money Really the God of Modern Times?

Introduction

In today's materialistic world, particularly in Nepal's evolving society, the old adage "Money makes the world go round" resonates more profoundly than ever. Money, often seen as the ultimate enabler in the quest for happiness and comfort, wields considerable influence over human behavior and societal structures. This brings us to the question: Is money truly the 'God' of modern times?

The Power of Money

Money as a Medium of Exchange:At its most fundamental level, money functions as a medium of exchange. It facilitates transactions, making trade and commerce efficient and straightforward. This role is critical in any economy, including Nepal’s, where goods and services are exchanged seamlessly because of a standardized currency system (Aryal, 2022). Without a common medium of exchange, the barter system would require a double coincidence of wants, which is both inefficient and impractical in a modern economy..

Money as a Measure of Value : Money also serves as a measure of value, providing a common denominator that simplifies the pricing of goods and services. This attribute is essential for both consumers and businesses, as it helps in comparing the worth of various products and services. In Nepal, this aspect of money is evident in markets where prices are expressed in the local currency, making economic activities predictable and manageable (Shrestha, 2021). The ability to measure value accurately allows for better decision-making and resource allocation, which is crucial for economic stability and growth.

Money's Influence on Global Economic Dynamics:Globally, money's influence extends far beyond simple transactions. It drives economic policies, international trade, and geopolitical relations. Nepal, heavily reliant on remittances from abroad, showcases how global economic dynamics can influence local economies (Gurung, 2020). The influx of foreign currency through remittances has a significant impact on Nepal’s GDP and overall economic health. For instance, remittances can help stabilize the national currency, reduce poverty, and improve living standards by enabling families to afford better education, healthcare, and housing.

Money's Impact in Nepal

In Nepal, money’s impact is starkly visible. Many Nepalese spend years abroad, dedicating the majority of their waking hours to jobs in foreign lands, driven by the aim to provide better for their families back home (Adhikari, 2019). This scenario underlines the god-like status money holds for many. The financial remittances sent back to Nepal play a crucial role in the economy, accounting for a substantial percentage of the national income.

For many families, the financial support from relatives abroad is a lifeline, providing essential funds for education, healthcare, and daily living expenses. However, this dependence on foreign employment has significant social and psychological impacts. Families are often separated for long periods, leading to emotional distress and weakening family bonds. Additionally, the pursuit of money can sometimes overshadow other important aspects of life, such as health, personal well-being, and ethical considerations.

Moreover, the dependency on remittances can create vulnerabilities. Economic downturns in host countries or changes in immigration policies can drastically reduce the flow of money into Nepal, leading to economic instability. This reliance highlights the need for Nepal to develop a more diversified economy that is less dependent on external sources of income.

In summary, while money facilitates economic transactions and acts as a measure of value, its influence extends deeply into the social fabric and economic stability of Nepal. Understanding and managing this influence is crucial for creating a balanced and sustainable economic environment.

The Psychological Impact of Money

Financial Stability and Its Pursuit : The quest for financial stability drives many people’s actions. In Nepal, the dream of achieving financial security leads many to migrate abroad, often resulting in a cycle of longing and dissatisfaction. Financial stability is seen as a gateway to comfort and security, pushing individuals to prioritize earnings above other aspects of life (Thapa, 2018). For many Nepali families, the promise of financial stability often outweighs the emotional and social costs associated with migration.

Migrating abroad is perceived as a lucrative opportunity to improve living standards and provide better education and healthcare for loved ones. However, this pursuit often comes at a personal cost. Migrants frequently endure harsh working conditions and low wages in foreign lands, sacrificing their physical and mental well-being. The pressure to remit money back home can lead to stress and anxiety, as they strive to meet the financial expectations of their families and communities.

Migrant Workers and the Relentless Pursuit of Wealth: The story of migrant workers who continually postpone returning to Nepal in favor of earning more abroad is a classic example of how money can dominate one’s life, akin to devotion to a deity (Lama, 2017). This relentless pursuit often comes at the cost of personal happiness and well-being, highlighting the psychological grip money can have.

Many Nepali migrant workers extend their stay abroad, driven by the desire to save more money and secure a better future for their families. This extended separation from loved ones can lead to feelings of isolation, loneliness, and homesickness. The pressure to accumulate wealth can also strain relationships, as family members may grow emotionally distant over time. The relentless focus on financial goals can overshadow other important aspects of life, such as personal health, family bonds, and social connections.

Emotional and Mental Strain Due to Economic Pressure: Money profoundly impacts people’s emotions and decisions. The constant fear of economic instability drives a relentless pursuit of more wealth, often leading to significant emotional and mental strain (Rana, 2020). This pressure is palpable among Nepali migrant workers who face the dual challenges of adapting to foreign cultures and dealing with the emotional toll of prolonged separation from their families.

The economic pressure to send remittances back home can lead to chronic stress and anxiety. Migrant workers may feel trapped in their jobs, unable to return home until they have saved enough money to meet their financial goals. This sense of entrapment can contribute to feelings of depression and hopelessness. Additionally, the cultural and social adjustments required to live in a foreign country can exacerbate feelings of alienation and mental fatigue.

For instance, a Nepali migrant working in the Middle East may experience a profound sense of isolation due to cultural differences, language barriers, and limited social support. This emotional strain is compounded by the pressure to remit money home, creating a cycle of stress and emotional turmoil.

In summary, while the pursuit of financial stability is a significant motivator for many Nepali migrants, it often comes with substantial psychological costs. The relentless pursuit of wealth can lead to emotional and mental strain, highlighting the need for a balanced approach to financial aspirations and well-being.

Societal Influence of Money

Socioeconomic Classes and Social Standing:In Nepali society, money plays a crucial role in both unifying and dividing people. It creates distinct socioeconomic classes that dictate social standing and influence. The prestige associated with wealth drives many to prioritize earnings over health, relationships, and sometimes ethical values (Rana, 2020). This societal structure often reinforces the idea that money is a central determinant of one's worth and status.

For instance, wealthier families can afford better education, healthcare, and social opportunities, which further cements their higher status. On the other hand, those with less money may struggle to access these opportunities, leading to a cycle of poverty and limited social mobility. This dynamic creates a noticeable divide between different classes, where the wealthy enjoy privileges that the poor can only aspire to.

Urbanization and Wealth Status Symbols: Rapid urbanization in cities like Kathmandu has led to the emergence of wealth as a status symbol. Expensive housing, luxury cars, and extravagant lifestyles have become markers of success (Joshi, 2019). This trend deepens societal divides, as those who can afford such luxuries are seen as successful and influential, while others are left striving to catch up.

The pursuit of these status symbols often leads individuals to compromise on other important aspects of life. For example, people may take on stressful jobs or work long hours to afford a luxurious lifestyle, neglecting their health and personal well-being. Relationships can also suffer as the relentless focus on financial success leaves little time for family and friends.

Impact on Health, Relationships, and Ethics: The obsession with accumulating wealth can have detrimental effects on health and relationships. People may neglect their physical and mental health in their quest for financial success (Karki, 2018). For instance, long working hours and high-stress levels can lead to chronic health issues such as hypertension and depression.

Additionally, the drive to accumulate wealth can sometimes lead to unethical behaviors, including corruption and exploitation. The pressure to succeed financially may push individuals to engage in dishonest practices, such as bribery or fraud, undermining societal trust and integrity. This behavior is not only harmful to individuals but also to the broader community, as it perpetuates a culture of corruption and inequality.

In summary, while money can provide comfort and opportunities, its societal influence in Nepal can also create divisions, compromise health and relationships, and lead to unethical behaviors. Balancing financial ambitions with ethical and personal well-being is essential for fostering a healthy and equitable society.

Money vs. Happiness

Research on Wealth and Happiness: Despite its critical role, money is not a guaranteed path to happiness. Research consistently suggests that beyond a level necessary for comfort and basic needs, additional wealth does not proportionately increase happiness (Sharma, 2021). This finding challenges the widely held belief that money is the ultimate source of fulfillment and contentment.

Studies show that once individuals reach a certain income level that allows them to live comfortably, the correlation between income and happiness weakens significantly. For example, having enough money to afford a decent home, healthcare, education, and leisure activities can indeed improve quality of life. However, beyond this threshold, more money contributes little to overall life satisfaction. This is because true happiness often depends on non-material factors such as relationships, community, and a sense of purpose.

Case Studies from Nepal :In Nepal, the impact of increased earnings through remittances offers a vivid illustration of this phenomenon. While remittances have significantly improved the material conditions of many families, they also come with substantial social costs (Dhakal, 2019). Families who receive remittances often face challenges like separation and reduced cohesion, impacting overall happiness.

For instance, many Nepali workers spend years abroad, sending money back to support their families. Although this financial support provides better living standards, the prolonged absence of a family member can strain relationships. Children grow up without one or both parents, and spouses often live apart for years, leading to feelings of loneliness and emotional distress. These cases illustrate that while money can provide material comfort, it does not necessarily lead to emotional and psychological well-being. .

The Non-Material Aspects of Happiness: True happiness often stems from non-material aspects such as love, relationships, and a sense of purpose (Mainali, 2018). Money can facilitate comfort but cannot replace the intrinsic value of personal connections and meaningful experiences. This perspective is crucial in understanding the limitations of money's power.

• Love and Relationships: Strong, loving relationships with family and friends are fundamental to human happiness. These connections provide emotional support, companionship, and a sense of belonging that money cannot buy. For example, spending time with loved ones, sharing experiences, and supporting each other through life's challenges contribute significantly to a person's overall happiness.

• Sense of Purpose: Having a sense of purpose or meaning in life is another critical factor in achieving lasting happiness. This can come from various sources, such as fulfilling work, contributing to the community, or pursuing personal passions and goals. Engaging in activities that align with one's values and interests can lead to a deeper sense of satisfaction and fulfillment.

• Community and Social Bonds: Being part of a community and having strong social bonds can also enhance happiness. Participating in community activities, volunteering, and forming connections with neighbors and colleagues can create a supportive network that enriches life.

In summary, while money can enhance comfort and provide material security, it is not the ultimate source of happiness. True fulfillment often comes from non-material aspects such as love, relationships, and a sense of purpose. Recognizing and nurturing these elements can lead to a more balanced and fulfilling life.

The Ethical Dimension of Money: 

Ethical Compromises and Corruption: The reverence for money can lead to significant ethical compromises. In Nepal, incidents of corruption and unethical business practices highlight the darker influences of money. The quest for wealth sometimes drives individuals to engage in dishonest and exploitative behaviors, undermining societal trust and integrity (Khadka, 2020). For instance, bribery, fraud, and embezzlement are common forms of corruption that can erode public confidence in institutions.

Corruption often starts small but can quickly grow, affecting all levels of society. For example, a government official might accept a bribe to expedite a business license, or a company might engage in fraudulent accounting to inflate profits. These unethical practices not only harm the immediate victims but also damage the broader economic and social fabric. Trust in public and private institutions diminishes, leading to a culture of cynicism and mistrust.

Nepal Rastra Bank’s Role in Regulation:The Nepal Rastra Bank (NRB) plays a vital role in addressing these issues by implementing various regulations aimed at stabilizing the economy and reducing unethical financial practices (Nepal Rastra Bank, 2021). NRB’s policies on foreign exchange and remittance management are crucial in curbing illegal transactions and ensuring economic stability.

For example, NRB has strict regulations regarding the inflow and outflow of foreign currency to prevent money laundering and illicit financial flows. These policies help maintain the integrity of Nepal’s financial system by ensuring that all transactions are transparent and accountable. By doing so, NRB helps to create a more stable economic environment where businesses can operate fairly and individuals can trust financial institutions.

Examples of Regulatory Measures: NRB has introduced several measures to monitor and regulate financial transactions, ensuring transparency and accountability. These regulations are designed to prevent financial malpractices and promote ethical behavior within the financial sector. Some of these measures include:

Anti-Money Laundering (AML) Regulations: These regulations require financial institutions to monitor and report suspicious transactions. They help to prevent money laundering and the financing of illegal activities.

Know Your Customer (KYC) Guidelines: KYC guidelines require banks to verify the identity of their customers. This reduces the risk of fraud and ensures that financial transactions are conducted by legitimate individuals and businesses.

Foreign Exchange Control: NRB controls the exchange rates and the amount of foreign currency that can be brought into or taken out of the country. This helps to stabilize the national currency and prevents illegal currency trading.

Remittance Management Policies: These policies regulate the flow of remittances into Nepal, ensuring that money sent by Nepali workers abroad is transferred through legal and secure channels. This prevents illegal transfers and ensures that families receive the full amount of money sent by their loved ones.

Financial Transparency Requirements: NRB requires banks and other financial institutions to regularly disclose their financial activities. This transparency helps to build trust in the financial system and allows for better monitoring of financial practices.

By enforcing these rules, NRB plays a critical role in maintaining economic stability and integrity. These regulatory measures ensure that the financial sector operates ethically and transparently, which is essential for long-term economic growth and public trust.

In summary, the ethical dimension of money involves addressing the corruption and unethical practices that can arise from the pursuit of wealth. The Nepal Rastra Bank’s regulatory measures are crucial in promoting ethical behavior, ensuring financial transparency, and maintaining economic stability in Nepal.

Conclusion : Money's profound influence in modern Nepali society can indeed make it appear as a deity. However, its true impact depends on how it is managed. Money can be a servant, facilitating life's necessities and joys, or a master, controlling and consuming lives. Balancing its utility and resisting its domination is crucial. It is vital to remember that while money can buy temporary happiness, it cannot purchase love, respect, truth, or time. Thus, while money holds significant power, it should not be the ultimate "God" in our lives. It is a resource to be managed wisely, with ethical considerations, underpinned by regulations like those enforced by the Nepal Rastra Bank to guide its healthy circulation in society.

Can money truly buy happiness: While money can buy comfort and alleviate financial stress, research suggests that beyond a certain point, additional wealth does not significantly increase happiness. True happiness often stems from non-material aspects such as relationships, love, and a sense of purpose .

How does money influence social status in Nepal :  In Nepal, money significantly influences social status. Wealth is often associated with prestige and higher social standing, leading many to prioritize financial success over other aspects of life .

What are the psychological effects of financial instability:  Financial instability can lead to significant emotional and mental strain, causing anxiety, stress, and a relentless pursuit of wealth. This pressure is particularly evident among migrant workers who face economic uncertainties .

How does the Nepal Rastra Bank regulate money:  The Nepal Rastra Bank implements various regulations to ensure economic stability and reduce unethical financial practices. This includes policies on foreign exchange, remittance management, and monitoring financial transactions to promote transparency and accountability .

What are the ethical implications of prioritizing money:  Prioritizing money can lead to ethical compromises, including corruption and exploitation. It can undermine societal trust and integrity, highlighting the importance of balancing financial pursuits with ethical considerations .