YOu could have searched for demurrage on the forums. There are many who have suggested demurrage as a part of the money design, but due to factors like bitcoin mixers and pseudo-anonymity, it's not possible to implement the same in the bitcoin protocol.
If you can imagine and code a way of implementing this, you can use the bitcoin code and create a new demurrage based digital currency.

btw. the blacksmith in your story starves to death as he cannot eat coins. The only one who can do what is described is a farmer. And try telling a farmer after this harvest that he should hold back and not spend his money. He'll give you a look like you've lost your head. What was the point in him creating all this surplus grain if he cannot sell it for things that he wants.