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>> We avoid deflation because it incentivises hoarding currency over productive activity. No, it incentivises reasonable spending on things you need and saving
by mamon 7y ago
>> We avoid deflation because it incentivises hoarding currency over productive activity.
No, it incentivises reasonable spending on things you need and saving the rest over mindlessly throwing money on useless crap because your money lose value every day.
- JumpCrisscross 7y ago> over mindlessly throwing money on useless crap because your money lose value every day Your have more choices than spending and hoarding. Buying Treasuries, for instance, yield around inflation. (TIPs if you're more worried.) To say nothing of the entire universe of investable assets, from commercial paper to venture capital.