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Zimbabwe required taxes and tariffs in the form of Zimbabwean dollars... You need a little more than just taxes and tariffs for a fiat currency to have value...
by bradwood 5y ago
Zimbabwe required taxes and tariffs in the form of Zimbabwean dollars... You need a little more than just taxes and tariffs for a fiat currency to have value... You need a hard money that is not going to be devalued also. This is where all fiat falls short and has done since the demise of the gold standard.
- ivalm 5y agoOk, but Zimbabwean dollar is not a Ponzi scheme either… the claim is about Ponzi scheme, not other things.
- bradwood 5y agoIt's the best example of a fiat Ponzi scheme. Keep printing money to keep the guys near the printer (at the top of the pyramid) flush. USD and other fiats are doing the same. Just at a much slower rate. Edit: It's basically just the Cantillion Effect[1] by another name. [1] https://www.adamsmith.org/blog/the-cantillion-effect https://www.adamsmith.org/blog/the-cantillion-effect