
Ask HN: What if government keeps on printing money whenever it requires it? - bsldld
What will be the effect on individuals and the economy?
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BjoernKW
One way of looking at this is from an accounting perspective:

Printing money is tantamount to debt (== liability). If there's sufficient
corresponding economic value and future economic growth (== asset) on the
other hand such debt isn't necessarily a problem.

The money "printed" right now to counter the effects of the current economic
crisis essentially is a bet on the future. If that money is invested
appropriately and intelligently this investment will stimulate future economic
growth, which in turn can be used to offset debt (for example via future tax
revenues).

Haphazardly expanding the amount of money available to the economy without a
proper strategy. however, usually leads to inflation and poverty and the
economy not being able to keep up with the devaluation of the currency
anymore.

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RNCTX
Currency value is relative, and since the invention of the internet more
countries are financially dependent upon each other than they were before.

Debt in Spain, debt in the USA, debt in Greece, debt in former Soviet
countries, debt in Japan, debt in China, what's the difference? Since most
industrialized nations have allowed their business owner classes to bribe
their way into paying less in taxes than is required to fund their
governments, public debt is ubiquitous as a solution to insufficient tax
revenue.

For country XYZ to have money worth more than country ABC due to your
hypothetical question, there has to be a government somewhere with stable
financial markets and significantly less debt than other countries. At
present, to my knowledge, no such place exists.

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achairapart
You may end up going to the grocery store with a one hundred trillion dollars
bill in your hand, like in Zimbabwe:

[https://images-na.ssl-images-
amazon.com/images/I/71j-2%2B22P...](https://images-na.ssl-images-
amazon.com/images/I/71j-2%2B22P%2BL._AC_SX425_.jpg)

[https://en.wikipedia.org/wiki/Zimbabwean_dollar](https://en.wikipedia.org/wiki/Zimbabwean_dollar)

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tomohawk
You end up like Venezuela, where everyone is a millionaire, but no one can
afford anything.

[https://www.thebalance.com/what-is-hyperinflation-
definition...](https://www.thebalance.com/what-is-hyperinflation-definition-
causes-and-examples-3306097)

