Digital currency solves inflation

1. 1. Its quantity is too small compared with the currency in circulation; 2. digital currency is generally not used to buy goods. So digital money will not inflate.

2. No, it can be said that 100% is a fraud. In fact, even bitcoin countries are not allowed to trade at present. It's better to speculate in stocks than to have that money

3. Inflation is the price rise that causes the devaluation of a country's currency. The essential difference between inflation and general price rise: general price rise refers to the temporary, partial and reversible price rise of a certain commodity e to the imbalance of supply and demand, which will not cause currency devaluation; Inflation is a sustained, universal and irreversible rise in the prices of major domestic commodities that can cause the devaluation of a country's currency. The direct cause of inflation is that the amount of money in circulation in a country is greater than its effective economic aggregate
deflation is deflation: when the amount of money in circulation in the market decreases, the people's money income decreases, and the purchasing power decreases, which affects the prices and causes deflation. The long-term monetary tightening will restrain investment and proction, lead to the rise of unemployment rate and economic recession
these two are inflation and deflation respectively.

4.

Due to the continuous popularity of bitcoin, people begin to pay close attention to this kind of digital currency. However, people from all walks of life pay more attention to the technical architecture behind bitcoin - blockchain technology, which is considered by many organizations to be the core technology most likely to trigger the fifth round of scientific and technological revolution after steam engine, power, information and Internet technology

bitcoin may fall, while the long-term direction of digital currency is bound to rise, and the rise will be particularly fierce. In 2017, the total market value of global digital currency was only US $647 billion, less than 10% of the global physical gold market value, and less than 0.01% of the total national stock value. AAC is launched at the right time. Miners all know that the earlier they enter, the more tokens they can get and the more profits they can earn. The birth of acute angle cloud will bring huge returns to its partners

2017 can be regarded as the first year of blockchain technology, and 2018 is likely to be the explosive year of blockchain technology. The rapid development of the blockchain technology will probably usher in the explosive growth of acute angle cloud, and the acute angle PC released on ces2018 is likely to become another explosive proct of blockchain

5.

1. Control the money supply

as inflation is a monetary phenomenon under the condition of paper money circulation, the most direct reason is that there is too much money in circulation, so an important countermeasure adopted by various countries in the control of inflation is to control the money supply, make it adapt to the money demand, and rece the pressure of currency devaluation and inflation

2. Adjust and control the total social demand

for the demand pull-up inflation, adjusting and controlling the total social demand is the key. This is mainly achieved through the implementation of correct fiscal and monetary policies. In terms of fiscal policy, it is achieved by tightening fiscal expenditure, increasing taxes, seeking budget balance and recing fiscal deficit

in the aspect of monetary policy, it is mainly to tighten credit, control money supply and rece money supply. If fiscal policy and monetary policy want to cooperate with the comprehensive control of inflation, the important way is to control the total social demand by controlling the scale of fixed asset investment and the excessive growth of consumption funds

extended data

expectation and inertia

in practice, once inflation is formed, it will last for a period of time. This phenomenon is called inflation inertia. One explanation for inflation inertia is that people will make corresponding expectations for inflation

expectation is an estimate of future economic variables, which is often based on past inflation experience and judgment of future economic situation to make judgment and estimation of future inflation trend, thus forming the expectation of inflation

expectation has an important impact on people's economic behavior, and people's expectation of inflation will lead to inflation inertia

source: Internet inflation

6. Why do we need to solve inflation? What we need to solve is hyperinflation. It is impossible for a country's currency circulation to be completely consistent with the total wealth of the society, so it is either inflation or deflation. As a developing country, slight inflation is necessary, and nominal income growth will also stimulate people to increase relevant investment and stimulate growth. The key is that inflation should be controlled at a certain level. The increase of inflation should not exceed the increase of income. Otherwise, the cake will become bigger and bigger and eat less and less, and the bigger part will be more and more concentrated in the hands of a few people, which will eventually affect & quot; Cake making & quot; The enthusiasm of the government has led to social unrest. So why was inflation so severe in the past (in the early stage of reform and development), but no one cared, because everyone's income grew very fast, but at present, the national income generally can't keep up with the rate of inflation, which is the root of the problem of inflation. In the case that the speed of "cake making" can't be significantly improved, we can only rely on the redistribution of social wealth to solve the problem of inflation, Only when ordinary people get more wealth can this growth be sustained. But it's one thing to say and one thing to do. It's hard for vested interest groups to give up their original share. So your problem is too big. People who have the ability to solve it can directly become prime ministers and be in charge of political and economic reform.

7. Generally, tight monetary policy and tight fiscal policy are adopted to control inflation. Generally, tight policy is adopted in inflation period. Fiscal policy mainly includes increasing tax, recing government purchase and investment, and recing transfer payment. Monetary policy mainly includes raising the rediscount rate, raising the legal reserve ratio and the central bank selling government bonds
(1) control money supply. Because the direct cause of inflation is too much money supply, the most basic countermeasure to control inflation is to control money supply, make it adapt to money demand, and stabilize currency value to stabilize prices. In order to control the money supply, we must implement a moderately tight monetary policy, control the money supply, maintain an appropriate scale of credit, use various monetary policy tools by the central bank to flexibly and effectively control the total amount of money credit, and control the money supply at a level compatible with the objective demand 2) Adjust and control the total social demand. It is not enough to control the money supply only to control inflation, but also to suit the remedy according to the underlying causes of each inflation. For the demand driven inflation, the key is to adjust and control the total social demand. The adjustment and control of social aggregate demand in various countries is mainly realized through the formulation and implementation of correct fiscal and monetary policies. In terms of fiscal policy, we should vigorously rece fiscal expenditure, strive to increase fiscal revenue, maintain a balance between revenue and expenditure, and avoid deficit finance. In terms of monetary policy, we mainly take measures to tighten credit, control money supply and rece the total amount of money supply. In order to control the total demand of the society, two important ways are to control the scale of investment in fixed assets and the excessive growth of consumption 3) Increase the effective supply of goods and adjust the economic structure. There are two ways to control inflation: one is to control aggregate demand; the other is to control inflation; On the other hand, increase the total supply. The two should not be neglected. If we blindly control the aggregate demand and do not focus on increasing the aggregate supply, it will affect the economic growth and can only achieve equilibrium at a low level, which may eventually be wasted e to increasing the cost of controlling inflation. Therefore, while controlling the demand, we must also increase the effective supply of goods. Generally speaking, the main means to increase effective supply are to rece costs, rece consumption, improve economic benefits, and increase the proportion of investment and output. At the same time, adjust the instrial and proct structure to support the proction of goods in short supply 4) Other policies to cure inflation. In addition to controlling demand, increasing supply and adjusting structure, there are also some other policies to control inflation, such as price limit, tax rection and indexation.