🐈

this has a weakness. it slows things down by disincentivizing only the economic activity with low rates of return. why would i invest in a shady stranger's fruit stand for 5% return if the literal us gov is offering me 10%.

while the total supply is reduced, the effect on various sectors of the economy is not. the heart can only do so much. if the brain is yolo shunting blood to the horny, lowering blood b/c now-is-not-the-time-to-be-horny just causes the hooman to faint instead of snap out of it

when increased economic activity is needed, it can buy back bonds. this rehydrates the bonds into fun coupons which then recirculate back into the economy, increasing the money supply.

the weakness here is that the entry point into the economy is where the bonds are rehydrated. the owners of the bonds who now have excess (printed...) cash. this excess flow is probably redirected elsewhere into the stock market instead of being spent locally

even if the money is injected directly into checking accounts it may still end up flowing into the stock market or other forms of crystallized money. at the end of the day, the heart is a pump. it can do no more than its job.

this system is made or broken by a key assumption. that increased blood flow puts more cells to work. if increased money does not actually increase employment (or that employment is fake employment that doesn't provide value) then the system is broken

high blood pressure for example does not help with blockages despite it logically making sense that more pressure is "good" for a blockage. the strain of the extra flow causes more damage than it fixes. probably through the creation of bullshit jobs.

an obese person w/ metabolic syndrome similarly cannot increase heart rate and lose fat easily. (just as caffeine pills are not the most healthy way to lose weight) the issue is w/ insulin response, not heart/metabolism.