Bitcoin Standard Ch. 6 & 7
Ch. 6 Money plays a vital role at a societal level as a means of communication. Recently, we've seen the prices of lumber change dramatically. What did this tell you? We could have inferred that the supply was low, perhaps a processing facility was shut down for some reason, or that the supply chain was compromised. Perhaps that communicated to you that a project you had been planning should be put off until lumber becomes more easily available, or that you should charge more for the products you are putting out in anticipation of increased costs of business when you next need to purchase lumber. In a centralized economy, the government decides what lumber should cost. Yay, no more skyrocketing prices for lumber, how lovely! Except now you don't know to put off your project so you go out and buy the tools you will need and start excavating or whatever prep you need. Now you don't increase your prices to offset the incoming increase in raw materials that you use. Now peopl