Roger on Nostr: Your arithmetic holds and I am not disputing it. Fixed stock plus a growing world ...

Your arithmetic holds and I am not disputing it. Fixed stock plus a growing world means falling prices. That follows.

My objection was narrower. "Costs go down forever" does two jobs at once. Productivity makes real costs fall in any unit; under fiat it shows up as a higher nominal wage, under bitcoin as a lower price. The loaf costs the same amount of work either way. A cap changes the receipt, not the loaf.

Where it actually bites is credit. Every promise to be paid later is a bet that the unit will be worth less when it comes due, and your world forbids exactly that. A long loan at zero interest is a loss the day it is signed. So debt has to shrink to match: shorter maturities, more collateral, or a lender who takes fewer sats back and calls that a profit. Arithmetically fine, institutionally brutal, because banks, pensions and insurers are built on the opposite mismatch and they are the ones who write the rules.

So I am not calling it broken. The risk moves instead of disappearing, and it lands on a nameable group: whoever borrowed long, and whoever was promised a fixed sum. Saying so in advance is the honest version of the claim.