Brunswick on Nostr: The issue with your theory, that inflation only effects holders of fiat, ignores how ...

The issue with your theory, that inflation only effects holders of fiat, ignores how inflation effects prices; namely wages. The normal course of things is 1) money printer go brrr, 2) prices of everything goes up, 3) wages stay the same. Wages always lag inflation. This means price increases effect the lower classes the most. So, regardless if you hold fiat (and the poor can never hold onto any in any case) inflation still makes you poorer. This is one reason for the widening financial divide: Only the affluent have access to credit or leftover fiat to invest in things that can hedge inflation. Bitcoin reverses all of these trends.