cannot make out whether certain assets are inflating or the $ is diluting
It's fashionable to argue that Cybermoney is too volatile to be currency/money/store of value. But their trend is up like the value of the car industry at the dawn of the 20th century and the Cyberspace industry in the 21st. Neither was simply voltatile, but were a new paradigm aka new reality, superseding bygone eras. Yes, they go up and down, but up up up, down, up, up, up, down, up, down, up uppity up up up.
Meanwhile, USD goes down, down up down down down down down, downer, down, up, up, downier and downiest.
USD has been very volatile as long as I've known it starting 1970. Compared with gold, oil, houses, labour cost, dollars are inflationary dilutionist devaluing, failing, highly volatile ranging from $2/barrel oil to $40 a barrel, and up again to $10 a barrel then down to $140 per barrel then up [for a day] to $1 a barrel and now back to $60 a barrel. Gold, houses and other units of valuation have also seen enormous $$$ volatility.
It is not at all certain that dollars are any less volatile than Cybermoney and the trend is catastrophically cataclysmic for people who have held US$ cash for the last 30 years. Paul Volker did rescue the dollar for the 1980s with interest rates around 10% but the Green$pan Put and Helicopter Ben, Powell, Yellen and co put $$ back on track to volatility to Zimbabwe.
Mqurice |
