Braydon Fuller on Nostr: "When the fuduciary media are created as a loan to entrepreneurs, it may not be clear ...

"When the fuduciary media are created as a loan to entrepreneurs, it may not be clear to anyone (except Misesian economists) that this loan has created more than there are resources. At current corn prices, the quantity of corn which farmers plan to purchase exceeds the quantity of seed corn available on the market. But once it is planting season and the farmers go to buy the seed corn, they quickly bid the price up. Those who buy it early might manage to get all the quantity they had planned to get, but the majority will get a smaller amount. This miscalculation will be an expensive error for farmers, who will have overinvested in land, labor, and capital relative to the amount of seeds they expected to have available." — saifedean (npub1gdu…6nak)