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2024-11-12 15:45:46

toxicbitcoiner on Nostr: When Keynesian statists say that inflation (theft) is necessary to incentivize ...

When Keynesian statists say that inflation (theft) is necessary to incentivize spending and therefore production.

“From 1870-1912, the dollar had an average annual deflation rate of -0.71%, producing a cumulative price change of -25.95%. Dollar holders increased their wealth just by holding dollars, as it only took $0.74 in 1912 to buy what $1.00 would in
1870. According to the St. Louis Fed, during the same period the economy increased total physical production by 550%, yielding one of the most prosperous economies in history. But during the years preceding the anticipated crisis, 1900-1907, bank credit expansion produced a cumulative price increase of 11.90%.”

https://fountain.fm/episode/iR5NT42LLSAydlnr0OmA
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