3 ms·
How did this dribble make it this high up HN? Money is a medium of exchange. It represents real value. If we just spin up new batches and dish it out, where
by verdi327 13y ago
How did this dribble make it this high up HN? Money is a medium of exchange. It represents real value. If we just spin up new batches and dish it out, where is its value? More money will be sloshing around in the system sending incorrect economic signals which will artificially inflate certain industries. The house of cards will collapse on itself when ppl stop believing the dollar can maintain a stable value. The currency will be dumped and hyper[inflation]/[deflation] will destroy the economy until a new reliable money is surfaced.
- paulbaumgart 13y agoIt's obviously not creating more wealth, rather it's redistributing that wealth into an arguably more efficient distribution.
- dllthomas 13y agoIt's obviously not creating more wealth first order. If that money frees up demand that wouldn't have otherwise been expressed, and people providing for that demand would otherwise have been out of work, it can create more wealth. The degree to which that would happen is an open question, so far as I'm aware.
- paulbaumgart 13y agoYou're exactly right, I was sloppy in my phrasing. Greater efficiency creates opportunities for wealth creation.