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155 sats \ 6 replies \ @SpaceHodler 19 Feb \ parent \ on: MicroStrategy has cut 20% of its workforce as its bitcoin buying multiplies Stacker_Stocks
From the Austrian perspective, capital (and speculating on how to allocate it) provides as much value to society as innovation.
Speculating on the appreciation of assets involves risk. Before you put your capital on the line you have to do a lot of research, and others get a cheaper signal from you than their own research would cost them. You remove an efficiency from the market and that's where your profits come from.
It's an important part of the economy, because the economy needs price signals.
George Gilder makes a similar argument
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Yeah but a central bank in bed with the government creates bailouts. Which makes it almost impossible to know is Buffett a good allocator of capital or is just another beneficiary of the money printer. Go back to 2008 if USA didn’t bail out the economy ultra rich guys would have gotten destroyed.
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So the problem is the money printer, not the capitalists.
Now that we have Bitcoin and the money printer is losing its power we can keep capitalism and don't have to be as apologetic about it.
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They are both at fault. Capitalists lost the plot of developing humans and communities and left it to the government while the top of the heap justify compensation beyond their own personal productivity.
If we didn’t have this welfare government state then companies will have more of an incentive to care for their labor and take more risks instead of geographically arbitraging labor to zero (looking at you apple) in pursuit in becoming a trillion dollar company. And leaving it to the government to clean up the mess while skirting taxes.