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Steve Forbes: Bitcoin Not Money
MouseTheLuckyDog writes "A brief editorial by Steve Forbes, one of our moneymeisters, on why bitcoins are not money.. Hint: For those who are too lazy to read the opinion,. Bitcoins are too volatile to be money."
From the article: "Money is most optimal when it is fixed in value just as commerce is facilitated when we have fixed weights and measures. When you buy a pound of hamburger you expect to get 16 ounces of meat. An hour has 60 minutes. A mile has 5280 feet. These measurements don’t 'float.' So too money best lubricates commerce when it has a fixed value."
Yet the price of a dollar (to those that produce them) is about 4 cents. When price is much lower than value, you can bet that value will fall until the two meet.
Also note that the price is the same for ALL denominations of US currency. Not looking forward to hundred dollar bills being worth 4 cents.
Historically, no fiat currency has lasted more than 60 years. We are currently in year 42 of our fiat regime.
Forbes never made it to president b'cos GOP voters were morons too obsessed w/ banning abortions across the board than bothinging about what's wrong w/ taxation and the economy. That's why you had bible thumping losers like Pat Buchanan and Alan Keyes being taken seriously, while other candidates like Dole behaved like they were Liberal class warriors, but w/ an (R) after their name. Once those guys (like Dole & Bush) won, it was obvious that the GOP was no longer the party of Capitalism. Otherwise, they would have picked Forbes, who was essentially Perot w/o the nuttiness.