Money gets created in the USD economy all the time, whether by invented debt, cash printing, or the issuance of bonds. Does that money actually represent wealth? Does the USD economy actually contribute anything of value?
So let’s say you wanted to permanently remove value from the USD economy for some reason. What’s the most effective and impactful way to “burn money?” Not spend it. Not acquire it. Destroy it, with the goal of taking that value out of the economy.
Burning/ shredding physical cash seems really inefficient. Maybe the answer lies in devaluing real estate?
This is all hypothetical so assume whatever resources or labor you want.
That’s called taxes. That’s literally what taxes are, destruction of currency. Go pay your taxes to the treasury in cash, they will literally shred it.
Taxes. The government can just print more money to pay for everything, but instead they tax to take that money out of the system
Before I answer,how much research have you done into the creation of the federal reserve, the mechanisms it uses, and the outcomes it seeks to achieve?
Just want to know what level of baseline knowledge this conversation should assume
Remove the peoples trust/value from it. Make societies (even small scale households/towns) around a currency-less system with things taken care of by each other using no money, just an agreement (it’s how communities used to work for thousands of years before capitalism, so it’s completely do-able). Or use a new money if you wanna start the failed capitalistic orphan grinder up again. Essentially starve the currency from trust/value to people and its value goes back to what it was, nothing. Money has no intrinsic value so if you make systems outside of that currency that stops people from requiring it, all the made up value goes back to zero.
Inflation. Make the currency worthless.
Destroying money would make it more valuable.