Let's begin by giving a brief overview of why Bitcoin allows for calculating far into the future. Bitcoin and the famed Satoshi Nakamoto has introduced a secure peer to peer transactional database which can be used over the internet for 100% secure transactions anywhere on Earth. Bitcoin Core has built in mathematical features which cut mined bitcoin in half about every 4 years. Bitcoin Core also has a built in global limit on the total number of bitcoin. These tangible features are what make Bitcoin successful. People love being able to plan far into the future, which Bitcoin allows.
With mathematical and real-time live statistics this creates a ripe atmosphere to target your future monetary calculations with precision at a level never before seen on Earth.
Why would you plan your future? Why does calculating your future increase your value? Some things the average American has to calculate are moving out of parents house, buying a car, spending money while studying at college, even small items such as McDonald's purchase, etc.
These are all very valuable things to any human, the ability to plan your future, including what you are worth increases happiness, bank balance, and success. Intrinsically, good plans lead to great results. A less versatile, but more historical example of calculable money is Silver and Gold. These have similar properties as Bitcoin, however the amount of real time data, mined output is a guessing game only scientists and engineers can figure out precisely vs. Bitcoin which anyone with a computer can view in real time for free. This is why you are hearing more about Bitcoin lately than about Silver.
The school of economics which give value to the principle of Monetary Calculation is the Austrian Branch of Economic Thought, led by Mises Institute globally. Ludwig von Mises is the Patriarch and leader of this accurate Economic school of thought, see the following excerpt from his book Human Action:
Monetary calculation is the guiding star of action under the social system of division of labor. It is the compass of the man embarking upon production. He calculates in order to distinguish the remunerative lines of production from the unprofitable ones, those of which the sovereign consumers are likely to approve from those of which they are likely to disapprove. Every single step of entrepreneurial activities is subject to scrutiny by monetary calculation. The premeditation of planned action becomes commercial precalculation of expected costs and expected proceeds. The retrospective establishment of the outcome of past action becomes accounting of profit and loss.
This article is excerpted from chapter 13 of Human Action.
Another shorter good book studying the dawn of modern banking is America's Great Depression by Murray Rothbard. Concrete charts and data on how the Federal Reserve exacerbated the Great Depression.
On the opposite side of Bitcoin, you have the current system of fiat sovereign money which in modern history is known as Keynesian Economics.
Why is it hard to plan in the Keynesian system? How did they remove calculations from money?
The current system is based on a Global Nation-State network of about 180 currencies. Let us give the example of a Financial leader at an international company. They would need to have computers, telephones to their banks worldwide, separate bank accounts, advanced computers to calculate, ability to predict future actions by groups of Bankers in 180 different territories. This is only 1 planet.
Everyday on American Financial media, they speak about Interest Rates, Federal Reserve Decisions, and foreign currency values. These are all systems which the individual intrinsically can not calculate in the first place, they are decisions made in Central Banks and Governments around the world in every territory.
Uniting the Earth under the principles of calculating the future will create better situations for everyone who follows Natural Law. There is always a better way, and Bitcoin is here already, and is a far better method of international value transfer simply because you can calculate with extreme precision your spending and saving creating more efficient economies globally.
I hope the introduction to Bitcoin and Monetary calculation was helpful. The current divergence of Austrian vs Keynesian is the root of the Science debate about money and economics of human action. I recommend Mises.org for continuing the study of Monetary Calculations. This is simply a basic introduction and one of my favorite topics.
