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@ Kanzan
2025-06-09 18:58:01
i dont think it's necessarily true that they outperform. as long as their investments are profitable right? because they get the deflation plus whatever extra.
but they're not necessarily profitable of course.
they're business owners VCs and whatever who are targeting some amount of return and increasing economic activity over what it would otherwise be.
but they increase GDP and contribute to the deflation even if individually theyre not profitable.
the deflationary level becomes a target they need to beat to justify investing their capital. it raises the bar and slows economic activity.
its understandable after decades of irresponsible debasement everybody is excited for deflation. but its really just PTSD and not good economic thinking.