Digital currencies are fundamentally changing the way we think about money and banking. The rapid rise of cryptocurrencies like Bitcoin, along with the
While you have a point, paper sacks would be a bad currency because it’s decently easy to create more paper sacks and therefore inflation would run rampant quite quickly. This is why things that used to be considered money are no longer money such as seashells, glass beads, etc. It turns out they were too easy to make and inflation ran rampant until they found a harder currency.
I love when someone comes along and thinks they have the answer to all life’s problems, as if nobody else ever thought of their idea after thousands of years of economic theory. The hubris is intense here.
Paper sacks have a natural limit to being made just like everything else. Eventually you reach market stability, paper sacks are also not durable, so there would be some churn in the supply.
Those things were used either because they had inherent value (gold, seashells, gems) or they were just hard enough to make for the average person (glass beads, coinage).
While you have a point, paper sacks would be a bad currency because it’s decently easy to create more paper sacks and therefore inflation would run rampant quite quickly. This is why things that used to be considered money are no longer money such as seashells, glass beads, etc. It turns out they were too easy to make and inflation ran rampant until they found a harder currency.
I love when someone comes along and thinks they have the answer to all life’s problems, as if nobody else ever thought of their idea after thousands of years of economic theory. The hubris is intense here.
Paper sacks have a natural limit to being made just like everything else. Eventually you reach market stability, paper sacks are also not durable, so there would be some churn in the supply.
Well, you go ahead and use paper sacks as a currency. And let me know how that goes.
It would be like using any other commodity. Literally done every day in every major market.
Those things were used either because they had inherent value (gold, seashells, gems) or they were just hard enough to make for the average person (glass beads, coinage).