Post
Topic
Board Economics
Re: us fiscal cliff: what is it?
by
DannyHamilton
on 14/01/2013, 16:25:14 UTC
. . . As a side note, the instance that happens . . . inflation would skyrocket . . .

From a link in the linked article:

Quote
. . . If the Fed was worried about all that newly created money being pumped into circulation, it could always counteract the inflationary effects by selling off the $2 trillion in securities it owns from quantitative easing (thereby taking an equivalent amount of money back out of the economy) . . .