Helpful thoughts!
Important for the dialogue.
I fed your comments into my agent and:
Perhaps the answer is PROFIT MARGIN.
“Why would people keep producing if prices fall?
This seems counterintuitive only when we think in nominal (dollar or fiat) terms. But let’s reframe it using first principles:
Productivity drives deflation: As technology improves and competition increases, it becomes cheaper and easier to produce things. The cost of inputs drops, and more output is created with less labor or capital.
Profit incentive doesn’t vanish—it evolves: Even if prices fall, profit margins can remain the same or improve if input costs drop faster than output prices. In other words, lower prices don’t necessarily mean lower profits. (Adding AI to the mix is really going to power this one forward)
Relative value matters: In a deflationary economy with a hard money standard, the value of money increases over time. So even if you earn less BTC for your work, its purchasing power rises. This preserves or even increases your standard of living.
Would I do the same work for less nominal pay? Not in fiat terms. But if that lower number buys me more, yes.
Deflation is like a store-wide sale. Everyone can shop, so everyone gets lower prices.
In a global free market driven by:
• Open competition
• Technological advancement
• Efficiency gains
• No artificial inflation from central banks
…producers are forced to compete on value, not on access to cheap credit. This leads to lower prices across the board as production becomes more efficient and margins are squeezed to meet global demand.
So a loaf of bread, a phone, a haircut, or a solar panel will get cheaper to produce. Those price reductions benefit all consumers, not just Bitcoiners.
Prices fall for everyone—but Bitcoin holders benefit exponentially, because their savings grow in value while prices drop.”
And more and more ppl will take that leap. I don’t think it’s so much about never having to work again, but more about getting a fair exchange for your work / time /contribution. We will need a lot less to live well going forward.
WDUT?
