Read also
this linked post.
Wow that is a lot buzz words. Your source is some clueless marxist on these forums, except you are misquoting him too. its sad.
I quoted myself and I am the antithesis of a Marxist, specifically a minanarchist, Libetarian, Austrian economics ideology.
You are actually the Fascist, Socialist Pig but you don't realize why because you lack basic math skills as explained below.
Another angle:
In response to someone who claims that inflation is good for the economy because it encourages spending/investment,
That is not my reason for my claim as detailed in this and the linked post. Rather I am saying we have to continually dilute the large capitalists which want to use dumb fixed and guaranteed returns on usury with captured power vacuum of government to parasite and enslave "smaller things grow faster" investment.
I am 100% in favor of highly expert capitalists who invest (their effort, expertise, and money) at-risk in the highest returning ventures, not in usury and government capture. I am not the Marxist, but those who believe in dividends, bonds, and insurance are.
But lets put aside the class warfare propaganda for a second and how utterly wrong your goals and values are.
Even if I accepted your values of what is desirable, your proposed method would do the opposite of what you want. A 5% devaluation of currency per year means a 5% tax on savings account (0% tax on property). To believe that it will cause the rich to lose money while the middle class and poor will be unhurt by it is absurd. The rich keep all their money in assets which earn them dividends. When the money loses value all their assets gain value. Net loss is 0%. However, the middle class cannot afford to spend the time and risk their meager life savings and retirement on such plans. So they will instead be losing money every year. Meanwhile the poor don't have much in savings (but suffer a lot more for each loss), but they aren't getting their salary constantly renegotiated to keep up. If you adjust the minimum wage from 30 years ago for inflation it comes up to over 20$ in todays money, much more then they are actually making.
You are punishing the poor, taxing the middle class, rewarding the rich, and calling it a progressive method absolutely necessary to redistributing wealth.
The alternative is worse for the poor, as I stated eventually via compounding the rich must mathematically hold all of the money. (Worse as they aggregate more wealth, they become powerful enough to capture the government's taxation powers and then use the public backstop to guarantee their dividends.) Then you have slavery because they can dictate all the terms by which they will invest some money, i.e. interest rates could go as high as infinity if only one person held all the money. You need to learn the math of why
more independent actors in an economy is directly correlated to macro economic efficiency and thus prosperity.
At least with the perpetual debasement, some money every year is being created to keep the rich from having a monopoly on available money. Instead of the dividends and interest bearing loans (bonds) of the rich gaining x% per year, they only gain (x - debasement)% or (x - inflation)%. The one big advantage the poor have is that smaller things grow faster. On a hot day, a guy selling cold mineral water can triple or quadruple his investment and a billionaire can never do that. So it is not the debasement tax that is regressive, rather it is the lack of debasement and a government tax apparatus that is regressive. Even
minimum wage is regressive you fool!
Also please understand that
prices P can still decline when M is rising due to increases in investment and productivity for supply Q without collapsing velocity V.
Thus I conclude math is not your strong suite. So STFU and stop wasting my time. Idiot. Go hide under a rock and let it sink in instead of coming back for sloppy seconds, thirds, fourths, ... to waste more of time explaining the same thing over and over again.
Now with the innovation proof-of-work, especially a design that leveraged CPUs that the lower class already own and would not allow GPUs, ASICs, FPGAs, and botnets, then lower classes would have some equal access to that newly created coin. More importantly in terms of maintaining a healthy supply of competing independent actors in the economy, there is a competition for the newly created coin, i.e. those who seek out microhydropower (small streams) which is the least expensive electricity on earth, a smaller economy-of-scale activity which the rich can't do.
And if we can defeat the government's power of taxation with anonymity and decentralized currency and 3d printing commerce, then take away the corrupt backstop of the rich and force them to risk their capital and compete (where they will get resoundly chewed up by smaller things growing faster).
While your intent of rich only taxes is evil, stupid, and counterproductive; the actual specific method you propose and its result of a middle class only tax & poor only penalties are even MORE evil, stupid, and counterproductive in every way shape and form. And the absurdity of it all is that you don't realize you are proposing it because you are so ignorant.
You idiots are why we end up with Dark Ages.
