I'm not convinced by the argument that deflation leads to p…
I'm not convinced by the argument that deflation leads to problematic levels of hoarding.
Most of the things we buy are necessary, not optional. We can't just wait until they are cheaper.
But those who rob us blind via inflation love to warn us about deflation.
Replies
I’m thinking about this from Bitcoin’s perspective. For example, if everyone uses satoshis (sats) as cash for payments in the future, and everyone holds cash in hand, how many sats would actually be in circulation? Would excessive hoarding drive up transaction fees? How do we judge malicious hoarding in the Bitcoin world? Is there any standard for that? Anyway, these are my questions. Of course, this is a really hard one to answer—we’ve lived in an inflationary world for way too long.