Re:Baoshang collapse threatens China's economy, may trigger ...
by solotronics on Sunday June 30, 2019 @10:59AM
(#20318547)
I am not sure why you are being downvoted, money is just a medium for exchange of goods and services (ie. human time/work value) even if there was universal basic income you would still need a unit of measure to prevent a bad actor from taking all the resources.
No, because people still need to eat, consume electricity, consume entertainment, etc. So wealth is still created. If it's a no-growth economy, that wealth is consumed at the same rate it's created.
> So over time, the value of the money would deflate.
No, it would be constant (assuming no money creation by the central bank).
> If the Gini coefficient went to zero (ie equal wealth distribution), the need for money would effectively disappear.
No, you need money as a means of exchange and a store of wealth, just like now.
> So would banks.
No, because you need to store and transfer money.