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Hoarding real estate in Manhattan or Paris only works as long as those assets continue to appreciate in value. Assuming demand for those properties is always in
by reedlaw 13y ago
Hoarding real estate in Manhattan or Paris only works as long as those assets continue to appreciate in value. Assuming demand for those properties is always increasing, how would you propose to put a curb on their prices?
As far as making a currency behave this way, I would say it's entirely unprecedented to have a currency that is both deflationary and infinitely divisible. The incentive to hold on to the currency may be strong, but there will always be incentive to take risks for even greater gains. Just look at how ASICMINER shares have risen.
- rayiner 13y agoAs long as the overall economy continues to grow, Manhattan real estate continues to appreciate. Infinite divisibility is irrelevant. That's not the problem. The problem is that the first people on the scene (I.e. Old people) end up with all the wealth.
- reedlaw 13y agoThere's no easy way to sell one square foot or one square inch of Manhattan property. First movers will always be at a competitive advantage in nearly any endeavor.