Balaji Srinivasan

And the Keynesian would say, no, no, no.

If everything gets cheaper every year, this is another reason they say not to do it.

They say everyone would hoard their money.

If something got cheaper next year, why would you buy it ever?

You would just wait for it to get cheaper.

You would hoard your money.

There would be no economic activity.

That's their theory.

But there's a counterargument to that as well, which is Moore's Law.

In practice, computers actually have gotten cheaper.

Like, you know that a Mac, for example, is going to be better in a year or two years.

You know, whether it's literally transistor density doubling every 18 months, that's the technical definition of Moore's law.

You know, broadly, computers get better pretty quickly.

Nevertheless, people buy computers really, really, really.

I mean, they spend a lot of money on computers.

They're not waiting partially because that deflation itself creates economic opportunities.

So the value of waiting for that productivity instrument versus getting it today and then building on it is, you know, there's a time value anyway.

It is a good thing.

Thank God it exists.

Let me take it out of the American perspective for a second to make it a little less emotional.