bambino
100 years ago in 1924, Babe Ruth was a baseball superstar. He was also the highest paid athlete in history. That year he made $30,000. The following year in 1925, he was celebrated for earning the astronomical sum of $50,000. Today, in 2024, exactly 100 years later, great baseball players make $30 million a year. In 1924, Babe Ruth made 1/10th of 1% of what is made today. That’s some kind of horrible inflation. It almost makes savings futile. The Babe was shrewd. He put his money into investments that provided income in his retirement years. Unfortunately, he was a tobacco chewer and died of throat cancer at age 53.
If that rate of wage inflation were to continue for another 100 years, an all-star player would be making $30 billion a year. From this, you can see the impossibility of our fiat money system continuing without a breakdown. The thing that puts a nail in our monetary coffin, is the increasing rate of expansion of this currency erosion. Quite suddenly, it can ultimately collapse. When all that will happen, nobody knows, but it’s hard to deny that a currency crisis is coming.