| > I fail to see how gold-pegged, gasselized […] constant supply cryptocurrency would not be in fact better than the dollar and the euro and the yen, and it would be both inflation & deflation resistant. If you don't see it then then you may wish to read more economic history, as the history of gold-pegged currencies shows that they caused anything but stability: * https://archive.is/https://www.theatlantic.com/business/arch... * https://archive.is/http://www.businessinsider.com/why-the-go... * https://en.wikipedia.org/wiki/Long_Depression#Causes_of_the_... And it was only after leaving the gold standard that countries started to recover from the Great Depression: > In the end, recovery from the Great Depression does not begin until countries give up on the combination of the Bagehot Rule and of commitment to sound gold-standard finance. Those countries that have central banks willing to print up enough money so that people are willing to spend it--it is when you adopt such policies that your economy begins to recover. If you don’t, you become France, which sticks to the gold standard all the way up to 1937, and never gets a recovery. When World War II begins, Nazi Germany’s production--equal to France's in 1933--had doubled between 1933 and 1939. French production had fallen by 15%. * https://delong.typepad.com/delong_long_form/2013/10/the-grea... |
If the price of an apple at t_0 is $2 and (using arbitrary symbol for the other currency) §2, and at t_1 $20=§2, then at t_1 citiziens in the nation using § as currency would pay §0.2 for an apple, et cetera.
The other currency would have to use scientific notation, for cash.
(if deflation wasn't the the cause of that crisis, this is not an answer).