Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
In any case, I would like to hear which 16th century mind argued for inflation, especially as currency was specie.
Economists now are still in the Alchemist stage. Its mostly just pseudo-science.
As I wrote already, I was referring to Gresham's Law (aka Copernicus's Law). It is stated in terms of face value vs intrinsic value, but the phenomenon applies to bitcoin vs national money: if a currency is [ perceived as being ] more solid than another, people will hoard one and spend the other.
To the degree that ancient historians wrote about political economy, they almost to a man condemned the emperor's debasement of the coinage. Copper was added to gold coins and the gold contents steadily decreased, causing all sorts of economic havoc. This type of deflation was primarily used for the same purpose that today's inflation is often used: to finance war. Just because bad money drives out good, it's no reason to advocate bad money. If anything, it's a reason to repeal all legal tender laws altogether and let the free market sort it out.