ECON

TrulyLimitless

Homie didn’t pay attention in ECON 101 and it shows

coinfeeds-bot

tldr; The Council of the EU has approved the final version of the Markets in Crypto Assets (MiCA) legislation. The European Parliament has been informed about the endorsement in correspondence to the Committee on Economic and Monetary Affairs (ECON), which is expected to meet and vote next week. MiCA should come into force following the completion of the approval process and its publication in the EU's Official Journal. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.*

flashyflashflash10

When I was in grad school the economic debates got very in the weeds with things like this. I was a finance major so my understanding of economics is just a few masters level classes. But what I though was very interesting was what the ECON majors were talking about, most of them doctoral students too, were talking about innovation velocity. I understand 1% so I am only introducing the idea but it’s the idea that innovation is increasing at such a rate that our ability to get the most out of resources is growing faster than any debt and will Eventually become so efficient we will actually need a reduction in labor but still with an increased buying power due to the sheer ability to produce resources in an automated way.

flashyflashflash10

I remember a college professor making us watch this video years ago. It was ECON 101, such a great depiction of an economy really works.

anoneatsworld

It is not the main contributor, it is (if nothing else happens, see war, climate crisis, energy crisis, etc) one of the main control mechanisms. If stuff gets more expensive, bring more money into the system such that everyone can pay these prices and restore their purchasing power. That is not “take out money so that everyone has less so that stuff gets more expensive” or “give in more money such that people have more of it and stuff is cheaper”. If you compare these sentences, the difference is really hair-thin but it makes all the difference - and also the reason that “changes in money supply IS NOT inflation” but it has shown to be one of the most effective ways to react to it. I swear if people would just read past their ECON 101/102 slides a bit. Why is that important? It answers “if we fix the number of currency units in the system, do we solve inflation?” and the answer is no, you can just as well have inflation and deflation and stagflation and all the other nice economic animals with Bitcoin as well. Take the 1$ above and replace it with 1BTC. Do you think we have these concepts in an economy because we want to? Do you think the stagflation period in the 1970s was a planned and wanted event?