Re: Bitcoin XT - Officially #REKT (also goes for BIP101 fraud)
Well would you look at that, even people within your own little circle jerk are calling you out on your myopic conceptualization of the economy.
Don't you think maybe it's time you exit the vacuum and see if your economic theories apply in the real world?
Don't you think maybe it's time you exit the vacuum and see if your economic theories apply in the real world?
If you read the thread, you'd see that I posted a two-sentence "proof" (<-- I used the scare quotes to indicate that it probably wasn't a proof), and then asked people to poke holes in it.
I agree with @molecular. The economic pressure can also be relieved, for example, by people voluntarily leaving the economic system. This would drop the supply curve such that it meets the demand curve at a point near the quota (Qmax).
What is interesting, is that either way (by fork or by people leaving the system), somehow the result is that Q* ends up to the left of Qmax! If this simple result is true, it would imply that it is not possible to use a block size limit to drive up fees.
Of course if bitcoin becomes too much expensive to use other cheaper systems will get their shares of the market reducing the usage of bitcoin. I don't see how this could be good for bitcoin in any possible way.
It is good because Bitcoin was never about serving the cheap transactions market. People who cannot pay for the security and censorship-resistance it offers are not valuable clients.