A long-forgotten German economist argued that society and the economy would be better off if money was a perishable good. Was he an anarchist crank or the prophet of a better world?
Hilarious. Our money already works this way. In the US, the federal reserve targets 2% by altering their policies, and other governments do similar. It’s not perfect because it’s not a defined loss like his stamps or check marks, but it works the same way. If your dollar today is worth 98c of the one you got last year but the wage for you fixed amount for work is $1.021, then it has the same effect.
And rich people don’t hold dollars, for just that reason. They hold assets which (they hope) will increase in value at least as fast as this drop in dollar value. US I-bonds are a perfect example, and the sale of treasury bonds are keyed to this drop in value.
This is also why regulators fear deflation - it leads to hoarding and loss of liquidity because nobody wants to buy today what will cost less next year.
His personal financial utopia is already with us and it sucks. It’s the treadmill which beats down every wage earner who needs to save for anything - to buy a house or car, take a dream vacation, or retire.
Hilarious. Our money already works this way. In the US, the federal reserve targets 2% by altering their policies, and other governments do similar. It’s not perfect because it’s not a defined loss like his stamps or check marks, but it works the same way. If your dollar today is worth 98c of the one you got last year but the wage for you fixed amount for work is $1.021, then it has the same effect.
And rich people don’t hold dollars, for just that reason. They hold assets which (they hope) will increase in value at least as fast as this drop in dollar value. US I-bonds are a perfect example, and the sale of treasury bonds are keyed to this drop in value.
This is also why regulators fear deflation - it leads to hoarding and loss of liquidity because nobody wants to buy today what will cost less next year.
His personal financial utopia is already with us and it sucks. It’s the treadmill which beats down every wage earner who needs to save for anything - to buy a house or car, take a dream vacation, or retire.