Hanshan on Nostr: that's just obviously false. deflation incentivizes ALL market participants to hold ...

that's just obviously false.

deflation incentivizes ALL market participants to hold their money.
all holders of the money reap the reward of the economic ventures of others. if economic growth occurs, their money increases in purchasing power whether ir not they participate.
purchasing power increases directly along the economic activity generated by *anyone*
it is a poor incentive structure where everyone benefits from the activity of the few.

also the prospective entrepreneur or any capital venture needs to be confident they can not only beat the market but has the additional hurdle of needing to beat the rate of monetary deflation.

i agree deflationary cycles are normal and good.
permanent structural deflation is not.

btw
John Keynes was loudly against constantly increasing the money supply. I know what you mean but its more accurate to call it "MMT" than "Keynesian"

Bitcoin maxis just started calling everything they dont like "Keynesian."