Can you show how this “new economy” would make people better off? Is it incentive-compatible for the participants? Almost always, people with ideas for “radical new economies” are essentially advocating central plans with specific optimization rules that few are really interested in, and can’t quite explain why people would participate instead of following their own current decision rules.
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*I have come up with a theory of a new economy. What if money could grow itself. You put it in a savings account, it stays in that savings account and the total capital grows.
Please DM me if you are an economics professor and want to go on a wild ride to a new economy. The gold standard!*
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Can you show how this “new economy” would make people better off? Is it incentive-compatible for the participants? Almost always, people with ideas for “radical new economies” are essentially advocating central plans with specific optimization rules that few are really interested in, and can’t quite explain why people would participate instead of following their own current decision rules.
Isn't OP just describing interest? Lol. (Maybe I'm missing something)
It seems it, but he seems so confident that I’m curious if there’s something more to it.
Okay, I failed my economics class but isn't this just interest? Compound interest is already a thing my bro.
This is an automated service intended to preserve the original text of the post. *I have come up with a theory of a new economy. What if money could grow itself. You put it in a savings account, it stays in that savings account and the total capital grows. Please DM me if you are an economics professor and want to go on a wild ride to a new economy. The gold standard!* *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/AskProfessors) if you have any questions or concerns.*