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 Originally Posted by Poopadoop
You said that Person A is contributing by just existing, which I interpret to mean that anyone can contribute by spending money regardless of whether they earned it or not, as this was the case for both Persons A and B.
My argument is that Person A is doing no more or less than Person B in directly producing no goods or services for the economy; the only contribution they make is by buying things. And if that were the only requirement for contributing to the economy then Person B must have the same effect, albeit to a lesser extent.
Person A's contribution by existing is due to his wealth being real. Your proposal is nominal and some other stuff. If Person A has 10m of real wealth sitting in a bank, it's doing good for the economy. Its most notable impact is probably that it acts as investment capital. If instead it's all consumed, well that's fine too because it's real. In your proposal, the change in income is not real; instead it's inflation. It won't boost the real economy and the situation includes some other stuff that is not good.
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