This post made me feel confusion about how money keeps its value over time. So, uh … thanks!
The retirement savings/oven example gave me a giddy moment of thinking that the value of money shouldn’t be stable. And, y’know, there is in fact inflation, deflation and stuff!
Now, money’s value does stay pretty stable, but now that feels like something that needs a mechanism to make it true rather than the default.
This post made me feel confusion about how money keeps its value over time. So, uh … thanks!
The retirement savings/oven example gave me a giddy moment of thinking that the value of money shouldn’t be stable. And, y’know, there is in fact inflation, deflation and stuff!
Now, money’s value does stay pretty stable, but now that feels like something that needs a mechanism to make it true rather than the default.
Not quite! If there were no central bank, money’s value would not jump around aggressively and discontinuously