[FeepingCreature]

Well, the idea is people would use LessInflatyCoin as long as the inflation was still high enough to make it unviable as an investment vehicle. But once inflation was high enough to make the coin usable as an investment vehicle, it would become a worse unit of transaction because you'd expose yourself to Bitcoin's attendant bubble risk. For instance, if you were to sell something for FixedCoin 1mil, you might have a hard time predicting how much your FC 1mil were worth tomorrow, or in a week, and your incentive would be to keep the money and gamble that it goes up, whereas IC's value development is highly predictable (ie. just slightly negative) because it's only driven by current use. I'd expect this to make IC more appealing to "boring" corporations.