Except limited supply isn't your silver bullet. In fact, before the Great Depression, most of the world's currencies were backed by gold [0], being very similar to Bitcoin. And then it turned out that when an economic downturn happens, limited supply leads to a deflationary spiral [1], that has much worse long-term effects than a controlled inflation. This eventually evolved into the current system where the inflation is controlled via quantitative easing by the central bank, which is more or less accountable to the political party in power, which is more or less accountable to the voters. The system isn't perfect and is prone to abuse by the banks and politicians, but IMO is more resilient than a purely algorithmic solution.

[0] https://en.wikipedia.org/wiki/Great_Depression#The_gold_stan...

[1] https://en.wikipedia.org/wiki/Deflation#Deflationary_spiral