[africanboy]

> if world productivity grows by 3% per year, my salary of 1 bitcoin gets more purchasing power.

but you are going to pay more for the same goods and services

if your bitcoin is 3% more valuable, when you use it to buy milk it's going to cost you 3% more

the game is working only because today if bitcoins increase their value you can exchange them for more fiat money

in a bitcoin economy one bitcoin is worth exactly one bitcoin, forever, whatever that buys

[ballofrubber]

In a non-inflationary monetary system cost of goods decreases every year, thats how productivity growth works.

You seem to have it backwards, this is where the Econo101 book from the parent comment might help ;) /s

Inflation drives down the purchasing power, hence why milk gets more expensive every year, even though we get much more efficient at producing it. Remove inflation and 1 bitcoin buys you a liter today and 1.03 litres next year.

[africanboy]

> In a non-inflationary monetary system cost of goods decreases every year

and so do salaries, they are a cost to someone ...

as long as your purchasing power stays the same salaries will go down as well.

it's simply natural.

you can't really believe that billions of people will get rich by sitting on the salary of a single year

BTW that liter of milk will generate 3% more profit to the seller. there is no incentive to lower the prices if hoarding is so rewarding

[ballofrubber]

Salaries are negotiable and the renegotiation lever is skewed towards the employee. e.g. "i accept the pay cut of 3%, but will need 2 days of vaction more" vs "please employer pay me 3% more to combat inflation"

You won't get more rich by sitting on your salary, but you will also not get more poor like you do today.

If the milk seller doesn't lower his prices a competitor will do that, as he is able to do that with the bigger margin the better productivity brought.

[africanboy]

Here in Italy I already have 28 days of paid vacation and can't be fired without motive and a judge can reinstate the worker if the motive was not valid

That's a political issue, it has nothing to do with how currencies work

If the milk seller is going to lower the prices to beat competitors, workers will compete on salaries as well

nothing different from what we have now, the only difference is that rich people could amass fortunes much more easily than today

they'll just need to keep their money in the bank (i.e. their gold reserve will keep appreciating by the virtue of existing)

[ballofrubber]

That's great for you, honestly!

Rich get richer today by being closer to the money source. In the "bitcoin standard" non-rich people can even keep their money in the bank and don't lose purchasing power by not risking it.

Rich and non-rich will always want to take risk to increase their net worth, however the assets must perform much better to outperform the money. Unlike today where almost all investments appreciate when measured in fiat.

edit:

> That's a political issue, it has nothing to do with how currencies work

Would you agree that it would be a good thing if the base monetary layer would enable that? I only see that happening with a monetary policy that respects savings and is not alterable by a few elected and unelected officials

[africanboy]

> can even keep their money in the bank and don't lose purchasing power by not risking it.

assuming they don't need the money to live and realise that 5 years ago they spent a today fortune on a liter of milk...