The Price of Tomorrow: Why Deflation is the Key to an Abundant Future

by Jeff Booth

Easy credit resulted in a significant rise in prices across asset classes—home prices, oil prices, stock prices, to name a few—creating real wealth for the holders of assets and spurring even more growth, with countless jobs being added to growth sectors of the economy that have been aided by easy credit and low rates. Venture capital and technology companies themselves have benefitted greatly from this cheap source of capital in raising giant venture rounds, meaning that some of the technology progress and feedback loops themselves were quite likely accelerated beyond what would have otherwise been possible. But that boom has now led to another boom, a phase shift where all the rules change. The simple power of technology is that it allows for abundance without the same amount of jobs or income... if we let it. It is a fact that we better get used to if we want that same abundance in our lives.