4 ms·

70% of Americans have less than $1,000 in the bank. Say there was 0% inflation for the last 50 years, how much do you think the number above would change?

• dnautics 6y ago
  The percentage would be lower, average savings higher. Because people's wages would have eroded less, and money not keeping it's value is incentive to live a consumptive lifestyle.... Bitcoiners hodl, for example, in spite of crashes and even with the risk it all goes to zero tomorrow.
  • trixie_ 6y ago
    Are you sure people would have saved the money versus buying a better car, house, electronics, etc.. Are you sure inflation is the reason people live a 'consumptive lifestyle'? I'd argue it is 'cheap' access to debt - student loans, housing loans, credit cards, etc.. that has prevented people from saving. Historically though the savings rate to today isn't much different than 60 years ago - around 10% in 1960 down to around 7% today. Bitcoin is an asset/investment like any other, including the dollar, and all can go to zero under the right circumstances. That is why no single asset should be HODL'd in spite of others, diversify.
    • dnautics 6y ago
      Cheap access to debt is inflation. You are violently agreeing with me.