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YES, this is the way.
As for the hard-easy dispute. Not so clear:
If not, is there a concept in economics that describes people not spending hard money when they can spend easy money?
economics (and esp finance) generally take Law of One Price to rule everything, meaning that a distinction between hard and easy is very unorthodox... what do you mean "hard," there's just money and it trades against other goods, services, and assets