One of the main reasons a lot of Physicists (not all, but their number includes me) have a very hard time understanding Finance, is that money, wealth&co are NOT conserved quantities. They are not even related to conserved quantities. https://t.co/8XoxeOEGa8

— Jacopo Bertolotti (@j_bertolotti) June 16, 2022

I’ve noticed that. Everyone assumes the market price or “value” of something decreasing means that the money goes somewhere, when nothing could be further from the truth. Nope, that money is just gone. Doesn’t exist anymore (if it ever did). Money has value only in trade, essentially. Otherwise, it’s just an idea — a fiction we tell one another — and is not conserved in any way. This is very difficult for physicists and engineer types to understand and accept.