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The Perils of Abundant Currency

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Created November 15, 2025

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Video Transcript

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A Minecraft village discovers infinite emeralds and within days their entire economy collapses.

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Here's why. When emeralds were rare, a loaf of bread cost one emerald.

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But once everyone had thousands, villagers started demanding ten emeralds, then fifty,

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then hundreds for the same bread. The emeralds didn't lose their shine, they lost their

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scarcity. This is exactly how real inflation works. When too much currency

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floods an economy, each unit becomes less valuable. Your money doesn't change,

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but what it can buy does. Scarcity creates value, abundance destroys

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it.

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