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Re:Diem – A rebrand of Facebook’s Libra by logicchains on Sunday December 06, 2020 @11:27PM (#25329317)
Fucking false, stop spreading misinformation. The US experienced continued deflation from ~1870 to ~1890 and still saw a growth rate of around 4%.
Re:Diem – A rebrand of Facebook’s Libra by cortesoft on Monday December 07, 2020 @12:11AM (#25329497)
So first, you of course picked one of the very few deflationary growth periods in history.

Second, that deflationary period was caused by a huge increase in productivity... it is known as "the second industrial revolution", and global production efficiency took off during that period.

Third, the fact that there was only 4% actually shows that growth was artificially constrained by a limited money supply; productive efficiency increased so much, we should have had better growth than we did. We would have, if we were able to grow the money supply with the economy.

In fact, the only thing that kept the money supply from completely stopping economic growth is that there actually WAS a huge increase in the money supply caused by massive gold and silver mining.

Re:Diem – A rebrand of Facebook’s Libra by edmundsauto on Monday December 07, 2020 @05:37PM (#25338666)
Not OP, but they were bringing up a counterpoint to the "absolutely" destroys a nation. The counter example did not destroy the US, proving the original statement false.

Your third point also sounds like story-telling, or fitting a story to the evidence. Does that mean it is the only possible explanation for what occurred? If not, how can we determine which explanation is correct?

Re:Diem – A rebrand of Facebook’s Libra by cortesoft on Tuesday December 08, 2020 @03:20AM (#25343097)
Yeah, you are right... it is a vast oversimplification and is not the only possible explanation.

I guess my point is that time period is clearly an outlier in a number of ways, which is why it is one of the only examples of high growth + deflation periods in history... it doesn't change the conclusion that you should aim for a small amount of inflation if you want economic growth. A single counter-example doesn't change the conclusion; just because we know there are people who have won huge jackpots in the lottery doesn't mean we stop suggesting saving money for retirement.