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Comment by triceratops

14 hours ago

The US dollar is worth less than it was in part because the US economy has grown.

This is mathematically provable:

1. A dollar in 2008 could buy 1/14tn of the value created by the US economy (the GDP) in 2008.

2. A dollar today can only buy 1/32tn of the value created by the economy in 2025.

It's obvious a 2025-2026 dollar is worth less than a 2008 dollar. That's just math.

But. A dollar in 2008 could buy 230% more of the economy than it can today. And you say its purchasing power has only eroded 64%. That means the dollar is actually worth more today, compared to the size of the economy it's in. Weird, I know.

EDIT: I'm fine with downvotes but tell me why I'm wrong.