• @aubeynarf
    link
    33
    edit-2
    7 months ago

    If you held US stocks instead of dollars in that time, you would have returned 114,629% , beating inflation (dollar devaluation) by about 7.5% per year.

    Part of the point of a deflationary fiscal policy is to increase the velocity of money and get it working for economic growth and innovation, versus being stuffed in a mattress for 100 years.

    • @[email protected]
      link
      fedilink
      English
      47 months ago

      Even with a slightly deflationary currency, people still need to pay their mortgage, electricity bill, buy groceries, etc. So it’s not like money won’t move at all. Because something tells me that people don’t want to sleep in boxes and would like to be able to eat.

      • @[email protected]
        link
        fedilink
        37 months ago

        They don’t invest it or spend it on things like luxuries though, and that’s how the health of an economy is measured.

      • @aubeynarf
        link
        17 months ago

        The average person saving money for the future should have it in a Vanguard S&P 500 fund, not in cash.