Jump to content

Welcome to FutureTimeline.forum
Register now to gain access to all of our features. Once registered and logged in, you will be able to create topics, post replies to existing threads, give reputation to your fellow members, get your own private messenger, post status updates, manage your profile and so much more. If you already have an account, login here - otherwise create an account for free today!

These ads will disappear if you register on the forum

Photo

Will a million dollars depreciate to the point where it isn’t considered a lot of money?


  • Please log in to reply
5 replies to this topic

#1
Maximum7

Maximum7

    Member

  • Members
  • PipPipPipPip
  • 116 posts
My father got pizza slices for a dime and if you had 100,000 dollars back in the early 20th Century, you were considered loaded. As time goes on, inflation grows and these days 100,000 dollars is certainly very nice but it’s far from being rich. When will it become that a million dollars is just the average yearly salary of an American working man (assuming post-scarcity never arises)? I think it will never happen for a billion dollars; that will always be the top dollar as if you compare a million to a billion, a million is like 11 days and a billion is 45 years. That’s the scale difference. However I do believe their will be a trillionaire someday.

#2
Jakob

Jakob

    Groveling Goblin

  • Validating
  • PipPipPipPipPipPipPipPipPipPip
  • 5,940 posts

Some degree of inflation is pretty much a given when you have fiat currency. Also, the GDP per capita continually rises, even when adjusting for inflation.



#3
Yuli Ban

Yuli Ban

    Born Again Singularitarian

  • Moderators
  • PipPipPipPipPipPipPipPipPipPipPip
  • 19,318 posts
  • LocationNew Orleans, LA

Depends on how much longer the economy as it currently is lasts. Assuming there's no megacrash that causes severe deflation and fiat currency survives to that point, in the year 2120, $1,000,000 will be worth $50,000 in 2018 USD assuming an average of 3% inflation.


  • wjfox, Jakob, Erowind and 1 other like this

And remember my friend, future events such as these will affect you in the future.


#4
Maximum7

Maximum7

    Member

  • Members
  • PipPipPipPip
  • 116 posts

Depends on how much longer the economy as it currently is lasts. Assuming there's no megacrash that causes severe deflation and fiat currency survives to that point, in the year 2120, $1,000,000 will be worth $50,000 in 2018 USD assuming an average of 3% inflation.

 

WOW. Cool I have my answer. A million will be only 50 grand!! Insane. Thanks



#5
Yuli Ban

Yuli Ban

    Born Again Singularitarian

  • Moderators
  • PipPipPipPipPipPipPipPipPipPipPip
  • 19,318 posts
  • LocationNew Orleans, LA

Again, that's assuming a lot of factors.

A decade ago in Zimbabwe, three hundred trillion Zimbabwean dollars was worth about as much as one US dollar. And in the 1940s, it took four hundred octillion Hungarian pengős to equal one USD.

 

If a megacrash happens next year, it's possible that $200,000,000,000,000,000 (two hundred quadrillion) circa 2020 would equal $50,000 2018 USD. Hence why sci-fi stories tend to not hold very hard to far-future inflation (i.e. past fifty years ahead) and instead either use a new currency or pick a more arbitrary number.

 

Because fiat currency is mostly a product of liberal and neoliberal globalism of the 19th and 20th centuries— before it, we were on the gold standard, and now we're experimenting with cryptocurrency which may come with its own paradigms. Someone in 1918 didn't really expect their dollar to be worth about $16 in a century— $1 in 1818 was about $1.40 in 1918. It's possible that, because of cryptocurrencies or something else happening, $50,000 in 2118 is actually worth about $52,580 in 2018. Or $5,000 circa 2118 is worth $50,000. Thus, a million dollars in 2120 could either be worth about the same or actually worth ten times more than it currently is.

 

 

Of course, that's 2120 dollars. If you tried saving $50,000 for a century, you'd have to actually sell those dollars to collectors. Depending on where you are, you can't even use a hundred-year-old dollar bill because of demonetizations, and stores will only accept face value, not appreciated value. 

In the US, you can actually still use very old currency prints, like this vintage 1861 $10 bill: 

10-bill-type001-580x248.jpg

 

Which is now technically worth $270.68, but good luck telling that to the cashier. Banks may accept it, but they'd only give you $10 since that's what's printed and was intended. More likely, however, due to the lack of counterfeit detection, they'll tell you to try selling it to a collector.

You can't horde old money itself and expect it to be worth anything, hence why those 'Zimbabwean trillionaires' are still poor and not constructing Dyson Spheres as we speak.


  • Jakob likes this

And remember my friend, future events such as these will affect you in the future.


#6
Future historian

Future historian

    Member

  • Members
  • PipPipPip
  • 53 posts

By the time it would have the current economic system would not be in place


JMULV is the greatest human alive





0 user(s) are reading this topic

0 members, 0 guests, 0 anonymous users