What if my salary expired after 90 days? I would have to spend, invest, or lose the money, saving is not an option. With elecronic cash, it would be possible to track each pound and give it a date after which it would no longer be valid.
An advantage of this is that the currency could be gold backed
(cheating?) or limited by maths (à la bitcoin). However GDP should go
up, creating employment, since the velocity of the money should
increase. Investing would be an option, helping business to grow.
Something like this may be needed with universal income, to make sure
the money is spent. Inflation is one way to get people to spend, but
always ends badly.
There are some practicalities. E.g. money between individuals would
still expire, but money paid by a medium/large business into a bank
would get a new 90 day start.
- posted 2 years ago