4 ms·
It's important to realize what currency really is at its core, which is not a store of value but an intermediary store of the current value of labor vs the bart
by selectodude 4y ago
It's important to realize what currency really is at its core, which is not a store of value but an intermediary store of the current value of labor vs the barter value. Todays labor is worth more today than it will be in 10 years, so the dollar value of that labor should fall correspondingly. When we pick an inflation rate, we are more deciding what the time decay of todays labor should be moving forward.