Spencer on Nostr: Today the dollar turns 52 years old. On August 15, 1971, President Nixon created the ...
Today the dollar turns 52 years old. On August 15, 1971, President Nixon created the current monetary experiment that we take for granted today.
During his official announcement, Nixon promised “Your dollar will be worth just as much tomorrow as it is today.” Since then the dollar has lost 98% of its value compared to my grandma's house ($29k to $1.39m). If the dollar held its value (no inflation), then the price of my grandma's home would most likely have gone down since 1971 as the materials have deteriorated, new technology has made new homes more appealing, and expanding infrastructure has made new areas attractive to live in in ways that they weren't attractive before.
The dollar is a young experiment, and it's clearly failing as inflation causes home prices to rise faster than wages. It's an unsustainable system by design.
During his official announcement, Nixon promised “Your dollar will be worth just as much tomorrow as it is today.” Since then the dollar has lost 98% of its value compared to my grandma's house ($29k to $1.39m). If the dollar held its value (no inflation), then the price of my grandma's home would most likely have gone down since 1971 as the materials have deteriorated, new technology has made new homes more appealing, and expanding infrastructure has made new areas attractive to live in in ways that they weren't attractive before.
The dollar is a young experiment, and it's clearly failing as inflation causes home prices to rise faster than wages. It's an unsustainable system by design.