Economic calculation - Deepstash

Economic calculation

Monetary expansion was 24% in 2020, with a forecast of 10% to 15% for the next five years. Under 15% annual money supply expansion, if a company makes a 5% margin on its business, it will lose 10% of its value every year. That means in four years, half of its wealth will be destroyed.

If you want to preserve your wealth, you have to beat the hurdle rate (the minimum rate of return on investment) and risk premium.

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laford

Marine Scientist

A discussion on inflation, hurdle rates, and the mass adoption of Bitcoin.

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