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Comment by EastLondonCoder | Hacker News Reader

I think Satoshi marketed bitcoin as a currency, but the intention was something that more resembles gold than currency.

Bitcoin as a currency does not make sense from a macroeconomic point of view. Whats the incentive of spending something of a fixed resource?

Maybe I'm old fashioned but I prefer monetary policy to be decided by a small cabal of professionals.

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It's not the small cabal of professionals that irks me. It's the method of increasing the money supply to generate inflation that bothers me. Central bank fiat systems use credit to increase money supply, so banks and people who consume large amounts credit (large capital projects) get the hot money first. Inflation does not apply evenly to everyone in the economy at once. As new money works its way into the economy, price levels rise. It's a rigged system for those close to the central bank.

So currently most money gets created when a back offers a loan, how and much is decided by the central bank. The thinking behind the current system is that easier access to credit will increase productive investments and grow the economy, hopefully to offset the inflation incurred by the increase in the money supply.

I agree its a quite blunt instrument, things like mortgages for houses doesn't really tend to grow the economy.

But its a hard problem, personally I would like to see some tinkering with helicopter drops

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