Jon Matonis: Fear Not Deflation
A few months ago Keynesian economist Paul Krugman wrote a piece criticizing Bitcoin. He compared it to gold and argued that Bitcoin would lead to “hoarding, deflation, and depression.” In the Keynesian world a lack of inflation = deflation = depression.
Deflation is commonly feared, but as Jon explains “Deflation is not a problem in the traditional monetary system and it will not be a problem in the bitcoin economy.”