Hacker News new | ask | show | jobs
by thomquaid 505 days ago
By that logic all money is waste. The money isnt destroyed when it is spent. It is transferred into someone else's bank account only. This process repeats recursively until taxation returns all money back to the treasury to be spent again. And out of this process of money shuffling: entire nations full of power plants!
2 comments

Money is just IOUs, it means for some reason not specified on the banknote you are owed services. If in a society a small group of people are owed all the services they can indeed commission all those people.

If your rich spend all their money on building pyramids you end up with pyramids instead of something else. They could have chosen to make irrigation systems and have a productive output that makes the whole society more prosperous. Either way the workers get their money, on the Pyramid option their money ends up buying much less food though.

Money can be destroyed with inflation.