Comment on Is there a theoretical limit to profit?
givesomefucks@lemmy.world 4 days agoThat’s not the point of inflation.
Our economy needs inflation to discourage saving and incentive investing.
If there was no inflation and 3% interest on savings, that’s all people would do.
So they make inflation more, and people lose purchasing power in a savings account, and instead invest, which pumps up stock prices for the whales who knows when to cash out.
On a smaller level it once tives people to spend as soon as they get it, because next year a $100 is worth less, so they spend while it’s worth more.
It’s a house of cards and when the wealthy owns the government there’s no one to hit the brakes on profits before the economy crashes and burns.
ryathal@sh.itjust.works 4 days ago
Where do you think profit comes from? Spending is what makes profit happen.