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Stiglitz is in favour the government printing money as a solution to many economic problems. What he must be concerned about is that if bitcoin is the medium of
by harry8 9y ago
Stiglitz is in favour the government printing money as a solution to many economic problems. What he must be concerned about is that if bitcoin is the medium of exchange, that lever no longer exists. Monteary inflation controlled by public servants or politicians is no longer a thing in management of an economy.
I'm making no comment about whether he's right, or whether bitcoin is good, bad or indifferent. This is what needs to be considered about Stiglitz's position and it's worth discussing, with him as well as other economists.
- mythrwy 9y agoA very good point. A decentralized "free" currency provides many advantages but it does offer to threaten the levers of monetary policy. Some of which (in theory anyway) keep things stable.
- someguydave 9y agoNot to mention Stiglitz stands to lose quite a bit of status if Bitcoin supersedes the US dollar as a world reserve currency.
- chiaro 9y agoNo, instead no one controls inflation and you return to the boom and bust of pre-fiat currency https://media.ycharts.com/charts/2dd4f9a7b087a1eb6f763d81a97e79ac.png https://media.ycharts.com/charts/2dd4f9a7b087a1eb6f763d81a97... Which, of course, is a very difficult environment to conduct stable business in. All this is by the by, of course. The chance bitcoin supplants USD is approaching zero.