News for hackers. Stuff that matters.

A comment on /story/33380336. Parent comment

Re: by raydiatian on Saturday October 29, 2022 @02:37AM (#33381593)
I haven’t studied Econ too much, but I know differential equations. Is there any economic theory suggesting a stable curve that doesn’t oscillate around the mean (but rather tightens up right onto the “mean” whatever that is) is desirable? I get we’re also talking planet scale complexity, and it’s not like that can just be baked in overnight.
[ Parent | on HN ]
Re: by barry-cotter on Saturday October 29, 2022 @02:52AM (#33381668)
The costs of inflation are mostly in surprise, adjustment, monitoring or uncertainty. A stable rate puts all of those at or near zero. High, stable, predictable inflation would be better than usually low but unstable inflation. For a perfectly fine introduction to why inflation is bad see the link below.

https://quickonomics.com/the-costs-of-inflation/#:~:text=The...

[ Parent | on HN ]
Re: by raydiatian on Saturday October 29, 2022 @03:38AM (#33381894)
I see! It’s like friction, then? We dissipate some amount of value out of the economy to apologize for the logistics of inefficient change?
[ Parent | on HN ]