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RE: Who pays for the blogging and curation rewards? (Part 1: STEEM POWER)

in #steem8 years ago

As a side note, this will show through increased payment amounts on your 104 payments. So, for example, if the rate of interest is 100% per year, your 52nd payment will be approximately twice the size as your first.

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The payment amounts will not be assured to increase, as measured in a unit-of-exchange such as dollars. As I explained in my other comment response to you, you are sort of building a strawman here, because the increased money supply would cause the exchange price to decrease if the market cap will remain constant.

because the increased money supply would cause the exchange price to decrease if the market cap will remain constant.

If you believe in money supply theory. an outdated economic philosophy that hasnt been taken seriously in a century.

Yeah, the value of a steem might go up. It might go down. I assumed that was a given.

If you believe in money supply theory. an outdated economic philosophy that hasnt been taken seriously in a century.

Did you not read what I wrote in my blog. "such as in the often maligned Quantity Theory of Money". Obviously I am aware that the QTM is not in control of the price, i.e. there are other factors such as variable investor confidence, etc..

Yeah, the value of a steem might go up. It might go down. I assumed that was a given.

Then why did you assume it couldn't go down? I will quote you, "this will show through increased payment amounts on your 104 payments".