62 sats \ 6 replies \ @Rothbardian_fanatic 31 Oct \ parent \ on: Gold Is Back—And So Is Judy Shelton econ
I think they could extend the Regression Theorem from fiat and gold to BTC, the same way it bridges dollars to fiat.
It seems if they can do one they can do the other.
Bob Murphy has an episode of his podcast where he explains why Bitcoin satisfies the Regression Theorem, as is.
He also points out that if Bitcoin truly did violate the Regression Theorem, then that would falsify the Regression Theorem, rather than discredit Bitcoin as money.
reply
Yes, it would satisfy. It is an extension of what has already satisfied the theorem.
reply
It's been a while since I listened to it, but Bob was basically explaining how trading those two pizzas for 10k bitcoin was no different, from a praxeological perspective, than any other voluntary exchanges. From there, bitcoin was a market good like any other and was trading in accordance with people's preference for it.
Then, because it has good money properties, it began taking on more monetary roles in the economy.
reply
I specifically remember the BTC for pizza exchange!! I just couldn’t remember the BTC price of the pizza. 10k at the time must have seemed like a bargain.
I wonder if the receiver had diamond hands or got rid of them as quickly as he could.
reply
I think it was just done as kind of a lark and to put the technology to use.
That was part of Bob's point: doing something just for fun is a perfectly valid use case from an economic theory perspective.
reply
So much for looking at everything through the economic theory perspective.
People seldom look at things through that perspective, generally.
They only look at things through their personal desires perspective.
reply