Inflation and Deflation of Price and Money Supply - page 4.

Majormax

legendary

Activity: 2534

Merit: 1129

Quote from: degenLove on October 22, 2020, 04:14:24 PM

does anyone know how much interest were banks giving to people who want to deposit gold before fiat ?

would like to know how much will we get from bitcoin savings account in a bitcoin standard world

The long term rate of interest has tended to converge around 2 1/2%. This rate has been found by natural 'price discovery' over 100's of years, without the setting of rates which we take for granted nowadays.

edit :

The long term rate is complicated by the fluctuations in inflation, which obviously affects the real interest rate drastically. Before fiat money, inflation was uncommon but began to appear in response to money issuers ie Sovereign Rulers , needing additional finance, and thus using their influence to debase currency. Possibly one could argue there was no need for an interest rate before the institutionalisation of money.

degenLove

newbie

Activity: 10

Merit: 0

does anyone know how much interest were banks giving to people who want to deposit gold before fiat ?

would like to know how much will we get from bitcoin savings account in a bitcoin standard world

thefiniteidea

hero member

Activity: 509

Merit: 564

"In Us We Trust"

I think we can safely see now (in 2020), how money supply inflation directly affects asset prices, including Bitcoin.

Cheesy

crwth

copper member

Activity: 2744

Merit: 1250

Try Gunbot for a month go to -> https://gunbot.ph

Since there is an actual breach with what the application should do and what it should not like collecting information and other stuff, it’s one of the reasons why they should ban it not just in India but everywhere since it is scary and illegal to be spied on.

For the trading of goods, it’s ideal to know that everything comes from China nowadays since the labor costs there are cheaper and fast to manufacture. There’s going to be an impact And how China is going to respond to the banning.

If there are fixed reporting’s of how much money and goods are supplied in the current economy, I think there will be a clear picture of what would happen, but for now, it’s still unclear.

lepbagong

full member

Activity: 2268

Merit: 121

#SWGT PRE-SALE IS LIVE

Quote from: chrisculanag on June 01, 2020, 01:03:06 PM

Quote from: Scotslass on May 13, 2020, 06:36:03 AM

Quote from: FanatMonet on January 26, 2020, 04:41:49 AM

Quote from: Linkkoin on January 16, 2020, 12:30:14 PM

Quote from: Ejanend on January 04, 2020, 12:25:52 PM

Yes. Inflation and deflation of the prices is controlled by the governmental bodies. This is not dependent only on the cryptocurrencies. Various financial activities that are taking place at the national and the international level determine the prices in a specific country. Moreover the economic growth is much relatable to the development in different spheres.

Not to mention that manipulating national currencies (eg. by printing money) is often done by purpose, to make own companies with their products cheaper than of its foreign competition. This is how China for years had been working as a factory for the world.

Each state is trying to help its producers by taking various tricks, whether it is a deliberate depreciation of the national currency, taxation of imports with various duties, and much more.
It’s just that some states use legal methods, while others may cheat.

overall US govs has been cheating all this time anyway - they have printed money so they inflated all funds of holders outside of the US, and then gave these printed money to the citizens
economically thats tricky, not cheating really, but we all know it is

i heared that but i dont know if this kind of trick is effective this time of crisis that affect the prices of all cryptocurrencies and also a paper money that we use for everyday's need. We witnessed that every crisis that effect us , it can make the value of crypto down or up.

as a central finance may not print more money than foreign exchange reserves in the form of gold and securities, then it will certainly experience inflation that can make the country worse off the economy. I doubt it is done, there are still many ways that can be done as a developed country in all fields. but I do not believe that the crisis will directly affect crypto because of the different treatment, crypto will continue to run if there is inflation or deflation.

chrisculanag

full member

Activity: 1344

Merit: 103

Quote from: Scotslass on May 13, 2020, 06:36:03 AM

Quote from: FanatMonet on January 26, 2020, 04:41:49 AM

Quote from: Linkkoin on January 16, 2020, 12:30:14 PM

Quote from: Ejanend on January 04, 2020, 12:25:52 PM

Yes. Inflation and deflation of the prices is controlled by the governmental bodies. This is not dependent only on the cryptocurrencies. Various financial activities that are taking place at the national and the international level determine the prices in a specific country. Moreover the economic growth is much relatable to the development in different spheres.

Not to mention that manipulating national currencies (eg. by printing money) is often done by purpose, to make own companies with their products cheaper than of its foreign competition. This is how China for years had been working as a factory for the world.

Each state is trying to help its producers by taking various tricks, whether it is a deliberate depreciation of the national currency, taxation of imports with various duties, and much more.
It’s just that some states use legal methods, while others may cheat.

overall US govs has been cheating all this time anyway - they have printed money so they inflated all funds of holders outside of the US, and then gave these printed money to the citizens
economically thats tricky, not cheating really, but we all know it is

i heared that but i dont know if this kind of trick is effective this time of crisis that affect the prices of all cryptocurrencies and also a paper money that we use for everyday's need. We witnessed that every crisis that effect us , it can make the value of crypto down or up.

john_cm

jr. member

Activity: 35

Merit: 2

Bitcoin and other cryptocurrencies have what fiat currencies cannot offer; fixed total supply. People are already beginning to realize the negative impact of excessive money printing out of thin air; it steals value from people as more money is continuously being created out of nothing. Crypto adoption at a wider scale might struggle to come to fruition, however, its something that is bound to happen.

Scotslass

jr. member

Activity: 37

Merit: 1

Quote from: FanatMonet on January 26, 2020, 04:41:49 AM

Quote from: Linkkoin on January 16, 2020, 12:30:14 PM

Quote from: Ejanend on January 04, 2020, 12:25:52 PM

Yes. Inflation and deflation of the prices is controlled by the governmental bodies. This is not dependent only on the cryptocurrencies. Various financial activities that are taking place at the national and the international level determine the prices in a specific country. Moreover the economic growth is much relatable to the development in different spheres.

Not to mention that manipulating national currencies (eg. by printing money) is often done by purpose, to make own companies with their products cheaper than of its foreign competition. This is how China for years had been working as a factory for the world.

Each state is trying to help its producers by taking various tricks, whether it is a deliberate depreciation of the national currency, taxation of imports with various duties, and much more.
It’s just that some states use legal methods, while others may cheat.

overall US govs has been cheating all this time anyway - they have printed money so they inflated all funds of holders outside of the US, and then gave these printed money to the citizens
economically thats tricky, not cheating really, but we all know it is

AlgoSwan

sr. member

Activity: 308

Merit: 250

ancap

The fault of inflation is not in business “monopoly,” or in union agitation, or in the hunches of speculators, or in the “greediness” of consumers; the fault is in the legalized counterfeiting operations of the government itself. For the government is the only institution in society with the power to counterfeit — to create new money. So long as it continues to use that power, we will continue to suffer from inflation, even unto a runaway inflation that will utterly destroy the currency.

k@suy

sr. member

Activity: 882

Merit: 269

Quote from: iamMhew on January 26, 2020, 11:41:27 PM

Quote from: FanatMonet on January 26, 2020, 04:41:49 AM

Quote from: Linkkoin on January 16, 2020, 12:30:14 PM

Quote from: Ejanend on January 04, 2020, 12:25:52 PM

Yes. Inflation and deflation of the prices is controlled by the governmental bodies. This is not dependent only on the cryptocurrencies. Various financial activities that are taking place at the national and the international level determine the prices in a specific country. Moreover the economic growth is much relatable to the development in different spheres.

Not to mention that manipulating national currencies (eg. by printing money) is often done by purpose, to make own companies with their products cheaper than of its foreign competition. This is how China for years had been working as a factory for the world.

Each state is trying to help its producers by taking various tricks, whether it is a deliberate depreciation of the national currency, taxation of imports with various duties, and much more.
It’s just that some states use legal methods, while others may cheat.

Its more of currency manipulation is the right term I suppose, Its not purely or 100% controlled by the government but of course significant contribution coming from them. By taking fiscal and monetary policies specifically these will undertaken by the central banks.
I hate so say that allegations recently by the US against China on its currency manipulations. In my opinion its just a counter moved by China to lessen the effect on the current Trade Wars in which it is initiated by the US.

It depends on the country if they already legalized the bitcoin or not but for those countries who do not use crypto currency, the government have no power to manipulate it because this is not under their belongings. They can only manipulate the value of the tax of it when the people convert it into fiat.

iamMhew

full member

Activity: 688

Merit: 101

Quote from: FanatMonet on January 26, 2020, 04:41:49 AM

Quote from: Linkkoin on January 16, 2020, 12:30:14 PM

Quote from: Ejanend on January 04, 2020, 12:25:52 PM

Yes. Inflation and deflation of the prices is controlled by the governmental bodies. This is not dependent only on the cryptocurrencies. Various financial activities that are taking place at the national and the international level determine the prices in a specific country. Moreover the economic growth is much relatable to the development in different spheres.

Not to mention that manipulating national currencies (eg. by printing money) is often done by purpose, to make own companies with their products cheaper than of its foreign competition. This is how China for years had been working as a factory for the world.

Each state is trying to help its producers by taking various tricks, whether it is a deliberate depreciation of the national currency, taxation of imports with various duties, and much more.
It’s just that some states use legal methods, while others may cheat.

Its more of currency manipulation is the right term I suppose, Its not purely or 100% controlled by the government but of course significant contribution coming from them. By taking fiscal and monetary policies specifically these will undertaken by the central banks.
I hate so say that allegations recently by the US against China on its currency manipulations. In my opinion its just a counter moved by China to lessen the effect on the current Trade Wars in which it is initiated by the US.

FanatMonet

hero member

Activity: 742

Merit: 507

Quote from: Linkkoin on January 16, 2020, 12:30:14 PM

Quote from: Ejanend on January 04, 2020, 12:25:52 PM

Yes. Inflation and deflation of the prices is controlled by the governmental bodies. This is not dependent only on the cryptocurrencies. Various financial activities that are taking place at the national and the international level determine the prices in a specific country. Moreover the economic growth is much relatable to the development in different spheres.

Not to mention that manipulating national currencies (eg. by printing money) is often done by purpose, to make own companies with their products cheaper than of its foreign competition. This is how China for years had been working as a factory for the world.

Each state is trying to help its producers by taking various tricks, whether it is a deliberate depreciation of the national currency, taxation of imports with various duties, and much more.
It’s just that some states use legal methods, while others may cheat.

Linkkoin

member

Activity: 476

Merit: 88

Online Cryptocurrency Exchange

Quote from: Ejanend on January 04, 2020, 12:25:52 PM

Yes. Inflation and deflation of the prices is controlled by the governmental bodies. This is not dependent only on the cryptocurrencies. Various financial activities that are taking place at the national and the international level determine the prices in a specific country. Moreover the economic growth is much relatable to the development in different spheres.

Not to mention that manipulating national currencies (eg. by printing money) is often done by purpose, to make own companies with their products cheaper than of its foreign competition. This is how China for years had been working as a factory for the world.

Ejanend

sr. member

Activity: 460

Merit: 254

Quote from: Majormax on December 15, 2019, 08:55:17 PM

Quote from: kannikaamudee on November 30, 2019, 06:20:30 AM

Inflation is when prices rise, and deflation is when prices fall. You can have both inflation and deflation at the same time in various asset classes. When taken to their extremes, both are bad for economic growth, but for different reasons. That's why the Federal Reserve, the nation's central bank, tries to control them.

Price changes are merely a symptom of inflation. The original, first definition is an increase in supply of money ( claims on assets and GDP) relative to the supply of assets and GDP. Thus inflation in most economies has already happened to an enormous degree in the past 10 years. Price changes have mostly yet to happen, but could still be forestalled by a balancing deflation.

All goods, assets and incomes will always experience their own rates of price change, depending on their individual relationship with the changing base money.

Central banks have no power to control price changes, but they use various tools (interest rates, repos, QE etc..) as a means to supposedly target a certain price outcome.

These are the reasons there is so much confusion in the measure and definition of the word 'inflation'.

Yes. Inflation and deflation of the prices is controlled by the governmental bodies. This is not dependent only on the cryptocurrencies. Various financial activities that are taking place at the national and the international level determine the prices in a specific country. Moreover the economic growth is much relatable to the development in different spheres.

Majormax

legendary

Activity: 2534

Merit: 1129

Quote from: kannikaamudee on November 30, 2019, 06:20:30 AM

Inflation is when prices rise, and deflation is when prices fall. You can have both inflation and deflation at the same time in various asset classes. When taken to their extremes, both are bad for economic growth, but for different reasons. That's why the Federal Reserve, the nation's central bank, tries to control them.

Price changes are merely a symptom of inflation. The original, first definition is an increase in supply of money ( claims on assets and GDP) relative to the supply of assets and GDP. Thus inflation in most economies has already happened to an enormous degree in the past 10 years. Price changes have mostly yet to happen, but could still be forestalled by a balancing deflation.

All goods, assets and incomes will always experience their own rates of price change, depending on their individual relationship with the changing base money.

Central banks have no power to control price changes, but they use various tools (interest rates, repos, QE etc..) as a means to supposedly target a certain price outcome.

These are the reasons there is so much confusion in the measure and definition of the word 'inflation'.

dnprock

member

Activity: 324

Merit: 17

Bitflate developer

Quote from: Crypto_Man1212 on December 03, 2019, 04:18:20 PM

Who else believes that we'll still have inflation after all Bitcoins have been mined? It doesn't look as if the ecosystem will be able to sustain itself from fees alone, even if the technology would be two times more efficient each year...

I think there's a chance that Bitcoin will fork into a low inflation rate (0.5% to 1%) and a zero inflation (current). Both Bitcoin chains remain Store of Value. In the low inflation chain, some portion of fees gets shifted to mining.

Crypto_Man1212

full member

Activity: 588

Merit: 100

Who else believes that we'll still have inflation after all Bitcoins have been mined? It doesn't look as if the ecosystem will be able to sustain itself from fees alone, even if the technology would be two times more efficient each year...

kannikaamudee

newbie

Activity: 49

Merit: 0

Inflation is when prices rise, and deflation is when prices fall. You can have both inflation and deflation at the same time in various asset classes. When taken to their extremes, both are bad for economic growth, but for different reasons. That's why the Federal Reserve, the nation's central bank, tries to control them.

Chaintrader_1

newbie

Activity: 25

Merit: 3

Which effects and human behaviour reflecting the markets in a recession : https://youtu.be/SV2wvInWDPA
Very interesting!

EdvinZ

sr. member

Activity: 994

Merit: 260

Quote from: mayureeana on August 05, 2019, 08:38:46 PM

Inflation is just a normal in developing countries, but if this inflation is already uncontrollable, it's not just an infalation, it's now called hyper inflation, just like what happened in venezuela, but thanks in cryptocurrency to save their collapsing economy. anyway, venezuela is not totally recovered yet

This is the whole problem that inflation turns from necessary to destructive for the economy. It is clear that with a developing economy, the amount of money from citizens increases, and they can afford to buy more. That is, demand increases, so there are more goods and services to meet it. Enterprises produce more products, the list of services provided to citizens is growing. Hyperinflation, which occurs when the state budget deficit and with a huge external debt, is a factor that destroys the economy of any country. A competent domestic and foreign policy is needed to keep inflation in balance and not get out of control. In our world, this is difficult to achieve because of corruption and destructive economic models between countries, which include sanctions, etc.

Topic: Inflation and Deflation of Price and Money Supply - page 4. (Read 1268641 times)