In one year a dollar may be spent multiple times. A physical dollar spent 20 times generates more economic activity than a dollar spent once and is therefore worth more. A digital dollar can be spent millions of times per year. Since digital money can be spent more frequently than physical money, digital money is worth more. But too much economic activity leads to inflation. A physical dollar can be spent less frequently but is less inflationary. Which effect dominates?
A mix of commentary, satire, and creative writing, often exploring philosophical and sociopolitical themes with a humorous and critical lens.
Showing posts with label 100 words. Show all posts
Showing posts with label 100 words. Show all posts
Tuesday, April 10, 2012
Does it Matter What Income Tax Revenue is Spent On?
There are two parts to income taxes: removing income and spending revenue. Both parts have social and economic effects, but which part is more significant? Progressive income taxes take "excessive" income from wealthier people and prevent them from getting too far out from the norm. This helps create a more financially equal and healthy society than would otherwise develop. This much is good. But this effect is destroyed if tax revenue is spent entirely on projects making it easier for "go-getters" to make more money. Spending should be regressive.
How Peer Pressure Could Fix the Education System
What people around us consider important, we tend to consider important. If we are surrounded by people who care about education, we are also likely to care about education. If they value studying hard and learning, then we are likely to as well.
By divvying students into groups of motivated and unmotivated students such that motivated students dominate the peer culture, a culture of hard work and learning should prevail. But what ratio of motivated students to underperforming students is necessary to tilt the scales in the direction of high performance?
By divvying students into groups of motivated and unmotivated students such that motivated students dominate the peer culture, a culture of hard work and learning should prevail. But what ratio of motivated students to underperforming students is necessary to tilt the scales in the direction of high performance?
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Gossip Gorillas: the Gossip Theory of Everything
Pretty much everything special about being human comes down to language, or more pointedly, gossip. Evolutionary anthropology tells us that...
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For the one hundredth time, Jacob asked himself why he was nervous. There was absolutely nothing special about asking the Net a question; bi...
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Continuing with my dismal theme, one problem with negative growth is that people lose jobs and lose the freedom of changing jobs or of movin...
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Shrink: It's 5 o'clock in the morning, Wrap. Can this wait for a few hours? Wrap: I'm sorry, doc, I falling apart here. I r...