2min chapter

The "What is Money?" Show cover image

An Examination of Central Banking with Joseph Wang (WiM234)

The "What is Money?" Show

CHAPTER

Is There a Central Bank Influencing Interest Rates?

In a Bitcoin-ized world where the purchasing power of money is expected to increase year over year, I would be kind of foolish to borrow weaker Bitcoin today and have to pay back more expensive Bitcoin in the future. You'd have to have high rates very high. Today we try to have a 2% inflation target. I think you would have basically perpetually deflation if you had a hard money standard. Which is, yeah, that would be very different from what we're used to.

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