4 ms·
Ok, I think you misunderstood my statement. I was saying this: if you want growth, you need to invest. If you don't invest, you don't get more goods and service
by snitko 14y ago
Ok, I think you misunderstood my statement.
I was saying this: if you want growth, you need to invest. If you don't invest, you don't get more goods and services in the economy. If you don't have more goods and services, each unit of money can't grow in value (e.g. no deflation) because there wouldn't exist more things you can buy. Thus, if you want money to increase in value, you have to invest.
It's a tricky circle, but once you understand it, it all becomes clear.
- Nursie 14y agoYes, but if currency is deflationary, it's best for me if someone else does these things and I just sit back and profit from my currency holdings.
- snitko 14y agoNot necessarily. By investing you take your destiny in your own hands: you deflate your savings and also collect profits. It is not a given that those just sitting around will profit more from inaction, but it is true that you make them richer too. Well, I can live with that.