5 ms·

Can you explain why you think inflation is the biggest problem of mankind?

xiphias2 6y ago
It destroys savings of people, they work for nothing. Most people in the world need savings that they can be used if they have some health issue, or lose their job. But as their savings lose value all the time, they become slaves to their own savings. I had the same thing happening to me before I started using Bitcoin as my savings account. Now I am able to offer every expensive cancer treatment to my girlfriend (TIL therapy) if her cancer doesn’t respond to her treatment (she’s in stage 4 :( )
- yxhuvud 6y ago
  Most people have no savings to speak of and that is not the fault of inflation, so that is not a problem. And anyhow, I don't really see why the work of my grandparents should be valued equally by society as work that happens now.
  - xiphias2 6y ago
    It’s because your grandfather sacrificed himself so that you can have a better life. One of the most noble thing a person can do to his grandson. And I personally saw Bitcoin change people from a non-saver to saver. Also I know many poor people who save all the time without access to markets.
    - orwin 6y ago
      Last deflation in the us was 2007 to 2008, and the one prior to that was 1930 to 1933
    - imtringued 6y ago
      >It’s because your grandfather sacrificed himself so that you can have a better life. That's a pretty stupid argument. Why should everyone's life get worse from that point on, if it can get better for everyone involved?
- PascLeRasc 6y ago
  It sounds like not having social safety nets are a bigger problem than inflation then.
- Hammershaft 6y ago
  it seems there are more than enough commenters representing the other side of this argument so i'll just say i'm sorry to hear about your girlfriend's diagnosis :(
- imtringued 6y ago
  >It destroys savings of people, they work for nothing. That's not true. Interest rates are usually slightly above inflation. Back when inflation was high you could get decent interest rates on your bank account to compensate. Nowadays with super low inflation the Fed is getting desperate and consumer banks are handing out money to anyone. I got two unwanted credit offers from two banks this week. Three years ago none of them would want to even talk with me, back when I really needed the money. >Now I am able to offer every expensive cancer treatment to my girlfriend (TIL therapy) if her cancer doesn’t respond to her treatment (she’s in stage 4 :( ) If Bitcoin merely stays ahead of inflation then you would expect a return of 3% per year. What you are seeing is more of a bubble fueled by the belief that the central bank will pump money into the markets forever. However, I'm glad that the bubble money is getting put to good use. Bitcoin is probably a more effective wealth equalizer than the Fed will ever be.
midasuni 6y ago
Clearly isn’t, but while inflation means more wealth to productive people, it slack increases the wealth of asset holders. Your cash goes down in value, your debt reduces, but your house increases in value, the rent you can charge goes up. Inflation helps those in debt with fixed interest payments which is great. It doesn’t effect those owning assets though.

It destroys savings of people, they work for nothing. Most people in the world need savings that they can be used if they have some health issue, or lose their job. But as their savings lose value all the time, they become slaves to their own savings. I had the same thing happening to me before I started using Bitcoin as my savings account. Now I am able to offer every expensive cancer treatment to my girlfriend (TIL therapy) if her cancer doesn’t respond to her treatment (she’s in stage 4 :( )

yxhuvud 6y ago
Most people have no savings to speak of and that is not the fault of inflation, so that is not a problem. And anyhow, I don't really see why the work of my grandparents should be valued equally by society as work that happens now.
- xiphias2 6y ago
  It’s because your grandfather sacrificed himself so that you can have a better life. One of the most noble thing a person can do to his grandson. And I personally saw Bitcoin change people from a non-saver to saver. Also I know many poor people who save all the time without access to markets.
  - orwin 6y ago
    Last deflation in the us was 2007 to 2008, and the one prior to that was 1930 to 1933
  - imtringued 6y ago
    >It’s because your grandfather sacrificed himself so that you can have a better life. That's a pretty stupid argument. Why should everyone's life get worse from that point on, if it can get better for everyone involved?
PascLeRasc 6y ago
It sounds like not having social safety nets are a bigger problem than inflation then.
Hammershaft 6y ago
it seems there are more than enough commenters representing the other side of this argument so i'll just say i'm sorry to hear about your girlfriend's diagnosis :(
imtringued 6y ago
>It destroys savings of people, they work for nothing. That's not true. Interest rates are usually slightly above inflation. Back when inflation was high you could get decent interest rates on your bank account to compensate. Nowadays with super low inflation the Fed is getting desperate and consumer banks are handing out money to anyone. I got two unwanted credit offers from two banks this week. Three years ago none of them would want to even talk with me, back when I really needed the money. >Now I am able to offer every expensive cancer treatment to my girlfriend (TIL therapy) if her cancer doesn’t respond to her treatment (she’s in stage 4 :( ) If Bitcoin merely stays ahead of inflation then you would expect a return of 3% per year. What you are seeing is more of a bubble fueled by the belief that the central bank will pump money into the markets forever. However, I'm glad that the bubble money is getting put to good use. Bitcoin is probably a more effective wealth equalizer than the Fed will ever be.

midasuni 6y ago

Clearly isn’t, but while inflation means more wealth to productive people, it slack increases the wealth of asset holders. Your cash goes down in value, your debt reduces, but your house increases in value, the rent you can charge goes up. Inflation helps those in debt with fixed interest payments which is great. It doesn’t effect those owning assets though.