r/PeterExplainsTheJoke • u/Melodic_Judge_129 • 9h ago

Meme needing explanation Petah?

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u/IrksomFlotsom 8h ago

Try and think of our global system as an engine that's purpose is to make fuel for itself. It needs to keep it's input above the output in order to keep powered on. As soon as the input drops below output the machine starts to slow down and can no longer sustain itself. The engine is not designed to slow down so it very quickly breaks down

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u/Gentle_Snail 8h ago edited 8h ago

Deflation can also result in a very negative feedback loop, the Great Depression was a deflation spiral for example.

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u/dark_hugo 5h ago

This is honestly why Bitcoin always perplexed me: you guys deliberately made a deflationary system? Won't that practically guarantee your system ends with a "Great Depression?"

I still don't understand Bitcoin

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u/tirefires 5h ago

It's for crime. That's the only real use case.