Cause it allows you to have a Ponzi scheme in which you always assume the future will be more prosperous.
If money loses its value, that puts pressure on people with money to use it and try to turn it into more.
So unless your willing to lose money due to inflation, you HAVE TO get a return on your investment, thereby ensuring perpetual growth.
It works well when there is tons of room to grow, but then it all falls apart when you run out of that.
Once that happens, you just keep increasing the money supply, allowing capital holders to increase at a faster rate than workers. Even though workers “make more”, they have a smaller share of the pie.
Cause it allows you to have a Ponzi scheme in which you always assume the future will be more prosperous.
If money loses its value, that puts pressure on people with money to use it and try to turn it into more.
So unless your willing to lose money due to inflation, you HAVE TO get a return on your investment, thereby ensuring perpetual growth.
It works well when there is tons of room to grow, but then it all falls apart when you run out of that.
Once that happens, you just keep increasing the money supply, allowing capital holders to increase at a faster rate than workers. Even though workers “make more”, they have a smaller share of the pie.