Thank you for your explanation, and the reason why I removed the last sentence is that I thought it was thoroughly unhelpful.
I'm not intending to bait. Really I find the arguments against deflation insufficient. I get the picture that some inflation is good to keep the system running smoothly, however, the description of why inflation is desirable is lacking when explaining why deflation is necessarily bad, all things considered. I don't see a first principles argument against deflation, neither do I see a thorough comparative analysis between deflationary and inflationary economies. The only example given is Japan, which, as I said before, doesn't seem to have fared too badly. Moreover, the list of countries that have had problems with runaway inflation is very long. Inflation is a well established economic malaise. In fact, it is almost a maxim that all states are destined to at some point or another, debase their currency.
I think one has to weigh the economic arguments, whatever they may be, against the fact that humanity has never had sound money that can't be debased, and that isn't at the whims of some elite, however well intentioned and wise they may be -- which more often than not, they aren't.
Cryptocurrencies will continue being developed, the flaws will be solved, and the wrinkles ironed. We will have something that may work as sound money. And I say we let it compete fairly against fiat money, put our theories to the test, and see what kind of money if preferred by the people. If it turns out that sound money is finally achieved, I'm sure it'll be a momentous time in human history, and could very well become a new human right: the right to own and use sound money.
I'm not intending to bait. Really I find the arguments against deflation insufficient. I get the picture that some inflation is good to keep the system running smoothly, however, the description of why inflation is desirable is lacking when explaining why deflation is necessarily bad, all things considered. I don't see a first principles argument against deflation, neither do I see a thorough comparative analysis between deflationary and inflationary economies. The only example given is Japan, which, as I said before, doesn't seem to have fared too badly. Moreover, the list of countries that have had problems with runaway inflation is very long. Inflation is a well established economic malaise. In fact, it is almost a maxim that all states are destined to at some point or another, debase their currency.
I think one has to weigh the economic arguments, whatever they may be, against the fact that humanity has never had sound money that can't be debased, and that isn't at the whims of some elite, however well intentioned and wise they may be -- which more often than not, they aren't.
Cryptocurrencies will continue being developed, the flaws will be solved, and the wrinkles ironed. We will have something that may work as sound money. And I say we let it compete fairly against fiat money, put our theories to the test, and see what kind of money if preferred by the people. If it turns out that sound money is finally achieved, I'm sure it'll be a momentous time in human history, and could very well become a new human right: the right to own and use sound money.