If there are no new bitcoins introduced into the network and more and more people start buying bitcoins, what will start to happen? I assume more people are holding/storing bitcoins then using them. If these people don't sell them and more and more investors jump in wouldn't the system in time run out of bitcoins to buy? I'm not a stock market person nor a finance expert, but I guess I should go back to the very start of how money is even conceived. I mean not one person can just add a million BTC into the network and cause problems. Just like US dollars. Someone, somewhere must have the power to introduce new money itself into the system. Having that ability, power and control is hard to imagine. Eventually though since there is a CAP on BTC things will just all flaten out?
You are describing what economists refer to as a shortage. To see what causes a shortage, check out my responses to this post:
https://bitcointalk.org/index.php?topic=147813.0Basically, new bitcoins don't have to be added. Shortages are resolved with higher prices. If no one wants to sell you a bitcoin, just offer me a million bucks for a bitcoin and trust me, I'll stop hoarding it.
Ahh ok. So "everyone has their price" falls into this topic here. Even a bitcoin hoarder that hates to sell or give them up has their price. The only problem with that is even relating this to real American money people do the same thing. Hoard their money and never let it go. They'll actually die before they give it up. With American dollars when someone dies at least that money can be reached. If a bitcoin hoarder dies, good luck with that I guess.
