Lucky Kite on Nostr: Now read Modern Monetary Theory. Its basically the same logic but it describes how ...

Now read Modern Monetary Theory. Its basically the same logic but it describes how the system actually works, and crucially (not mentioned in this video) you have to talk about the role of taxes in this, as well as real world resource constraints. Printing money CAN be useful for producing actual stuff. After all every Bitcoin is 'printed' at some point even if that is limited and regulated. The real question is what are the limits of money creation: why 21 million bitcoins and not 1000 million or 2 million? Why every 10 mins and not every 60 mins? It doesn't actually matter, because all that matters is the belief in its value, and because you have to pay taxes in dollars under threat of violence/prison, everyone believes in the dollar, even bitcoiners are convinced they can buy a sandwhich if they have some dollars. Taxes give money value They don't pay for things. Taxes are money destroyed. Printing money is what drives people to create things, the only constraints are resources. And no country in the world is at full productive capacity. Govnt can print money any time it likes. Inflation only hapens when productive capcity is reached. And is reduced with higher taxes. That capacity is a long way off.