Re:Bitcoin has crossed $6,000 USD for the first time
by slg on Friday October 20, 2017 @06:22PM
(#15519502)
Part of the reason why people purchase or invest in these long term assets is because of expected future inflation. For example a 30 year mortgage with a fixed monthly cost would be a horrible investment in an economy with expected long term deflation. You would be much better off with paying the ever decreasing costs of renting rather than locking in a price that steadily costs more. This is why economist like small and steady inflation.
Nonesense. The general population is cash-poor, and is largely in debt. Inflation makes their debts easier to pay off.
Most of the wealth the general population owns is not in their bank account, but in their partially-owned house, their car, and their education. Deflation does not increase the relative value of any of them.