Re:U.S. on Track to Add $19T in New Debt over 10 Years
by Rury on Friday February 24, 2023 @12:34AM
(#34921222)
I'm not wrong at all. You can make a coin with 1/4 the silver it use to, but if merchants don't demand more coins to make up for the debasement, there is no inflation. There's nothing necessarily stopping them accepting the 1/4 silver coin as equivalent as the 100% silver coin for the same good. Like I said, inflation only happens where demand happens. Demand can be broad based, but nothing necessitates it so.
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Re:U.S. on Track to Add $19T in New Debt over 10 Years
by arrosenberg on Friday February 24, 2023 @02:26PM
(#34928833)
That assumes people are unaware suckers and would still only be true for a short time under metallist economies (until word gets out). My entire point was that it doesn’t work that way with fiat currency. Demand is driving inflated prices, but the money isn't being debased, the supply is increasing. Congress could remove the extra cash with taxes, which you cant do with debased coins, they have to be reminted entirely.