I can't start 'my own' currency, perhaps with a critical mass of people who think this is a better system that would be viable.  

And as for Gessell, you are now claiming that he was not a 'real economist'.    This is utterly untrue, he was an influence, among others on John Maynard Keynes.  This idea has merit and again you cannot present any argument against it.  'It would become worthless' Why?  There would still be 21 million coins, this system only increases the velocity of that money and discourages hoarding.  The value of the coin remains the same. The idea that hoarding is a good thing, that is the really crackpot thing I heard people claiming on here.

Here we go, Peter is saying that bitcoin doesn't have any intrinsic value.. this is the point where this Norman guy needs to hit a home run and sounds like he's striking out =(

It is not retarded! People would be have more incentive to spend bitcoins instead of holding them. 

Also they wouldn't 'devalue', in fact they would appreciate in value just the same, as more people started using them, but they would be more useful as transactional tokens rather than a store of wealth.

I don't yet see any convincing arguments against this idea.  I wonder if what you're really saying is "get yer filthy 'ands off me stack o coins"

I have 4 GPUs and Sempron 140 is enough. 2 cores I think.

Thats okay, if you use an OS with a GUI. Some people, including me, are using headless systems for bitcoin-mining or dont want to use other tools than aticonfig.

AMDOverdriveCtrl -i 0 -b device0.ovdr

Getting connection problems with uswest server... Anybody else?

OK, I understand where this is going now.

But.

That doesn't fix anything. If it is a directly proportional function, then there isn't really enough incentive for spending now vs later. Because it is directly proportional, all that it does is change the prices that people are willing to accept on both sides of the table. It would cause some problems early on, but eventually, the market would stabilize and you'd have to find some other way of upsetting it again.

I fail to see how a hacker with access to the DB could have created the price bubble.

Great idea. Go make your own block chain now.

politicians and bankers removed gold as backing for paper money and created so the fiat money. Gold wasnt a currency at that point anymore.

Yes kings devulated the purity in coins to make own profit but it turned out that it was very healthy for the economy since there wasnt enough pure gold coins in circulation to keep the market running.

Gold has failed as a currency, it wasnt removed by politicians and bankers.

The Kings in in medieval times already started to reduce the Gold % of a coin since Gold was way to rare to satisfy the market with enough pure gold coins. Many wars in in medieval times started for the reason of acquiring more Gold for the Market.

The Blacksmith doesnt starve to death since he only holds 10 BTC of his 100 BTC total capital. Also you need to consider that the other participants dont know that the Blacksmith will hold back 10 BTC this week so they spend all their coins as normal.

Gold has failed as currency. (AS CURRENCY! I DONT SAY THAT GOLD FAILED IN GENERAL!)

I dont say that the more money circulates the richer is everybody. I say that if money is backed up in value by goods and implanted in the money circulation that everybody gets poorer when people hold back money because this will destroy income.
Understand the difference between "holding back" and "printing new" money.

This thesis is proven by several economic professors.

Please dont reply if you dont read the entire post and dont get the point.

The general problem of Fiat Money that causes most the economic problems is the hoarding of money.

This would force people to spend their BTC and handling them like a currency and not like an investment.

what? no, this sounds wrong. of course it's going to increase (although i think the rate at which it increases will get lower, as it already has), but there's not gonna be a big crash in mining, i think. it's going to slowly reach the point at which it is no longer profitable for the casual miner (1-3 rigs at home, 15c/kwh etc), but this would not cause a crash (your statement sounds as if the difficulty would adjust dramatically at one point in time).

Plus its good that mtgox got hacked early on. 60k users is alot but just imagine if we are at the point where it was at 6 million users+? Now everyone is on high alter in terms of internet security which the way it should have been from the beginning but over time people get comfortable and let their guard down.

generally speaking the idea of making money running a free program on a computer is a pretty sexy concept compared to a hard to understand and very illiquid cryptocurrency.

Capacity is going to increase no matter what anyone says or does on this forum because there's always some new person who can click install on guiminer and run it for free in a computer lab somewhere

I wonder what % of people here have ever even used a bitcoin to transact anything.... I tried and it results in arguments over what a bitcoin is worth, referring to rapidly fluctuating prices on illiquid scammy markets, and basically end up asking for cash instead.

What shop operating at 10-20% typical retail margins is going to spend all day constantly updating/checking bitcoin prices when selling an item they just bought from a distributor at a hard fixed cost?