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The use of a currency is as a medium of exchange, not necessarily as a store of value long-term. Yeah, you would want it reasonable stable in the short-term, bu
by kryptiskt 10y ago
The use of a currency is as a medium of exchange, not necessarily as a store of value long-term. Yeah, you would want it reasonable stable in the short-term, but if holding cash is a bad investment, that doesn't mean that anything is wrong. It just means that hoarding cash is not a useful way to save.
Which isn't a bad thing for the economy. It is better for it if a person of means lends the money to the government or the private sector, or buys equities or other investments.