Post
Topic
Board Economics
Re: why the state does not print a lot of money?
by
trako
on 01/08/2018, 09:25:39 UTC
if governments get money, they will negatively affect this nation's economy. Because states have to show a response to circulation money. So in order to make money, you have to have gold reserves in your treasure.
printing money means injecting more money into the market. If there's plenty of money in the market, it's worth the money.
When money loses value due to a lot of money in the market, it needs to be spent more in that currency than to be able to get a product. So inflation occurs. these countries are dragged into the economic crisis. and nobody wants it.