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The issue with your theory, that inflation only effects holders of fiat, ignores how inflation effects prices; namely wages. The normal course of things is 1) money printer go brrr, 2) prices of everything goes up, 3) wages stay the same. Wages always lag inflation. This means price increases effect the lower classes the most. So, regardless if you hold fiat (and the poor can never hold onto any in any case) inflation still makes you poorer. This is one reason for the widening financial divide: Only the affluent have access to credit or leftover fiat to invest in things that can hedge inflation. Bitcoin reverses all of these trends.

Dissident Sound 1y ago

my other unpopular opinion is that wages need to come down if we want to stay competitive with China

there is just no reason why Americans should make 10X as much as Chinese if they aren't any more productive

but as i said my brain already went to sleep because it's my bed time and i can't get into any deep stuff right now

i hope to be back in shape tomorrow

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Discussion

Brunswick 1y ago

That Chinese wages are 1/10 of American's is a myth. That is information from decades ago

Dissident Sound 1y ago

The only reason American Wages should be higher than Chinese ones is because America still does things that China can't do.

China still has nothing to match Google, Microsoft or Nvidia and in general American companies like Tesla, Nike etc. are more prestigious than Chinese companies.

But china is catching up. Volvo is a Chinese company now for example. Xiaomi now has the fastest production sedan in the word ( faster than any Tesla or Porsche ). Chinese are strong in Solar, Electric Batteries, Self Driving Cars and are making progress in Aerospace.

Once China moves past making toilet seats for Walmart and starts to make things that previously only America could do there will no longer be any way to justify why American wages should be higher than Chinese.