Re:Man behind viral fake currency shocked by its success
by toenail on Saturday March 09, 2024 @11:36PM
(#39656741)
> It makes no sense for you to be able to save for X decades
Aristotle would have disagreed with you, and today's market seems to disagree as well.
Re:Man behind viral fake currency shocked by its success
by elwebmaster on Sunday March 10, 2024 @07:01AM
(#39658235)
This is the best explanation so far. If you want to store value in non-inflationary asset you can purchase gold. But there is no guarantee that the value of gold against the fruit of other people’s labor will remain constant or increase over time. It doesn’t matter that the total amount of gold remains constant. If the world consists of gold hoarders who want to buy food but all they can offer is gold and one farmer who has food for sale then that one farmer can demand as much gold as the market is willing to pay for the scarce good food.
The only way to get what you want is to physically save the goods and services you want to buy in the future, but obviously that is impractical. Hence, society, markets, money, and inflation or deflation to balance the supply and demand of goods and services.
Imagine a world where everyone is your age. You and everyone around you works and is productive. You're saving money. Then, you all retire around the same time. What value does that money have? You all have money, but there's nothing to buy with it. This is obviously an extreme example. But what you want is also extreme: that population and productivity are constant over time.