People would buy gold or other money We don't want that
This is honestly the winning comment. Water flows through the path of least resistance.
What if money expired?
71–80 of 191 posts
Re: What if money expired?
#72Money do expire! There is inflation... I would like similar system for land ownership and buildings. Property taxes at level of 5%. In China land can not be owned, but only leased for 70 years.
Actually no. Expiration of money and inflation can exist simultaneously. Expiration of money is an end of life cycle event of individual bills - it affects certain lump sum of money that will become void in corpore. The nominal value of the money will remain the same. Inflation is continuous devaluation of nominal value of all the money regardless of individual bills. If we discuss expiration of money then we should…
> Expiration of money and inflation can exist simultaneously.
yes, but we are also expected to pay: rent, taxes, and subscription (utility) services simultaneously
Re: What if money expired?
#73If money expired I would invest in freeze dried foods, fuel and land. What remains would be added as credit in utility services. Most businesses beyond that would never see a penny of my money.
Re: What if money expired?
#74Money do expire! There is inflation... I would like similar system for land ownership and buildings. Property taxes at level of 5%. In China land can not be owned, but only leased for 70 years.
I carry around a piece of hard currency (1901 Silver Dollar) to remind me of what real money is like... it's always been worth about 4 retail gallons of gasoline. I expect that trend to continue for at least another decade. Soft money, tends towards zero, as you said.
I keep 200 Swiss Francs in my drawer, because the last time inflation in that country went above 4% was in the 90s and the last time they had war on their soil was in 1847.
Over here this should afford you a month's worth of groceries for up to two people if you're careful with your spending.
Re: What if money expired?
#75Even normal money expires via something other than inflation. I have a bunch of CHF that can only be exchanged at the Swiss national bank now. No idea if I’ll ever be able to do that.
This might not help you if you’re outside the country, but I believe the railway ticket office and the post office will also accept them. An anecdote: few months ago, my partner actually exchanged a 100 CHF note in the big SNB building on Bürkliplatz, and it’s essentially a Jason Bourne scene (although that wasn’t really Zurich in the movie). You walk in, a guy speaking with a stereotypical Bünzli accent takes your n…
I’m not in Switzerland or even Europe, however. I just have some cash left over from when I closed an account in 2011, actually, it’s around 5K or so. When they retired the currency, they only now allow exchanges at the Swiss national bank. I didn’t hear that I could do it by mail, will check that out. Otherwise a family vacation to Bern might be nice.
Re: What if money expired?
#76In some places in Europe, like Sweden, when new bills are released, and if you don't get your old exchanged they will soon enough become worthless. So don't stuff cash in your matress or you'll lose it eventually.
Re: What if money expired?
#77The whole point of money was to last longer than the expiring and perishable things it was used to pay for. The purchasing power of a dollar in the last century is about 1/500th of what it was when it was paid for the value someone created back then. If money expires/inflates, people use it to buy something to hedge it, which creates a bubble in that asset. The real estate bubble created by low interest rates is exac…
That's a very good way of explaining this.
Here in Brazil the previous generations have a golden rule that you must store value in land, not in money. And Brazil has had tons of inflation and weak currencies in the last decades (with all the poverty and stagnation that it brings).
Re: What if money expired?
#78[deleted]
Re: What if money expired?
#79There’s 2 interesting implementations of money that do expire:
1. GNU Taler (going live next year I think?) has expiry attached to all signed tokens, to prevent the tokens (really EUR tokens signed by an issuing licensed entity, not blockchain/crypto bullshit) to promote it as a payment instrument instead of an investment.
2. CBDC does offer expiry as one axis. The Indian implementation, which is very early, has very little adoption is extended from e-RUPI which is a purpose delimited voucher-based money, primarily meant for social welfare schemes. I’m not 100% certain but this includes inbuilt expiry.
Re: What if money expired?
#80We already have inflation, but if governments want this then it’s possible via CBDCs