Crypto crash could see El Salvador default on debt payments

Endymio

Posts: 1,511   +1,454
Every form of currency on the planet has "lost" value in the last century. It's called inflation. Perhaps you didn't study that concept in school?
You quote the word "lost" suggesting you believe value really isn't being lost, and you also imply inflation is some sort of nebulous, unstoppable law of nature. Neither is correct. As Nobel-prize winning economist Milton Friedman says, "inflation is always and everywhere a monetary phenomenon." The result of government overprinting money.

From the year 1550 to 1913, the British pound was almost perfectly stable, averaging an annual inflation rate of 0.0014%. From 1914 to today, it's averaged 4.5% -- with some years topping 20%. When you understand what changed in 1914, you'll understand inflation.