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Could we create a system where inflation would hit harder on the one that had the most money? That way, rich people would be enticed to move their money, and in
by harperlee 12y ago
Could we create a system where inflation would hit harder on the one that had the most money? That way, rich people would be enticed to move their money, and invest in risky plays. Some of them would grow very rich, others would lose a lot of money, but, on the end, they would end up reducing their income...
- ejlo 12y agoThe tool for that is demurrage, http://en.wikipedia.org/wiki/Demurrage_%28currency%29 http://en.wikipedia.org/wiki/Demurrage_%28currency%29, which adds devaluation of the currency over time. This complements Basic Income very well, with UBI for money creation and demurrage for money destruction. For physical currency is has some obvious practical problems, which has prevent adoption, but for virtual currencies it is easy to implement.
- harperlee 12y agoWell sorry, I did not explain myself properly: my idea was that, if every coin could be associated with a specific person, rich people's coins might devalue quicker than poor people's coins. It's a weird idea and giving it a little more thought, I don't see how could a state enforce such a system effectively, though.
- tlarkworthy 12y agovariable Sales tax/VAT pegged to credit card and linked to SSN/NI Cash purchases would be problematic. Maybe drawing out cash incurs the variable tax too?