Bitcoin and Endogenous Growth Theory: A Path to Sustainable Economic Growth (history lesson lol)

I know that its literally a meme when Elon types say that given enough technology and capital, the hypothetical ratio of Capital/labor and GDP/capita are hypothetically unlimited. Combined with robotics and AI, we are on the precious of massive endogenous growth with virtually zero diminishing returns. Something economists and technologists could only dream of. Bitcoin is still far more profound than humanity realizes, and theres a long history of economic theories starting with Thomas Malthus classical theory, the neoclassical theories, and the endogenous growth theory. By incorporating aspects of endogenous growth theory and other economic concepts, we can ALL better understand how Bitcoin might/will/already has contributed to a more sustainable and prosperous future. Hold on because we are going back to some good old fashioned economic theory. Because well.... Bitcoin is #MATH.

Y = AK(Hint, Bitcoin is the A AND THE K that inflates forever and brings through honest interest rates)

Although some would say that Bitcoin does not inherently ENSURE that there will be no diminishing returns on capital, it sure makes it a lot harder when it reinforces property rights and has perfect monetary policy (as to why the Keynesian idea of quantitative theory is not a true mathematical law, ill point you to Mises and Milton Friedman. https://www.youtube.com/watch?v=jE7zxo61Xc8 ). Now, onto WHY we will largely diminish the problem of diminishing returns on capital....

Endogenous Growth Theory and Bitcoin: Endogenous growth theory emphasizes the importance of knowledge, innovation, and human capital in driving long-term economic growth. By investing in these areas, economies can experience sustained growth without diminishing returns on capital. Bitcoin, as a decentralized and deflationary digital asset, has the potential to align with this theory in several ways:

1. Encouraging savings and investment: Bitcoin's limited supply and deflationary nature make it an attractive store of value. As individuals and institutions choose to save and invest in Bitcoin, capital accumulation can increase, leading to higher levels of investment in technology, education, and other areas that contribute to endogenous growth.
2. Facilitating technological innovation: Bitcoin's underlying technology, blockchain, has opened new doors for innovation in various sectors, including finance, supply chain management, and digital identity. As more individuals and companies adopt and develop blockchain technology, the increased technological progress can contribute to economic growth.
3. Enhancing human capital: Bitcoin and blockchain technology require a skilled workforce to develop and maintain the underlying infrastructure. By creating demand for expertise in these areas, Bitcoin can encourage investment in education and training, leading to an increase in human capital, a critical component of endogenous growth theory.

Bitcoin as a Savings Technology: Bitcoin's unique properties as a digital asset make it a powerful savings technology with the potential to improve the economic outlook for individuals and nations alike:

1. Protection against inflation: Bitcoin's limited supply and decentralized nature protect it from inflationary pressures that can erode the value of traditional currencies. By preserving purchasing power, Bitcoin can encourage savings and investment, driving capital accumulation and economic growth.
2. Financial inclusion: Bitcoin offers a borderless and permissionless means of saving and transacting, enabling greater financial inclusion for individuals worldwide. By providing access to financial services for unbanked and underbanked populations, Bitcoin can help unlock untapped economic potential, contributing to global growth.
3. Diversification: As an asset class, Bitcoin is relatively uncorrelated to traditional financial assets, making it an attractive option for diversifying investment portfolios. By reducing risk and encouraging investment, Bitcoin can contribute to a more stable economic environment that fosters growth.

Buy BTC, and use it with your friends and family.