ThebanksoftheBramleyMoore
Player Valuation: £2.5m
printing money is to counter-act a lack of investment/demand, done so by giving bonds to banks in the hope that they will be more willing to loan it out (this may not actually be the case). if deflation is is believed to be about to occur or is occurring it can have negative consequences on an economy such as reducing GDP and increasing a budget deficit even further, quantitative easing (printing money) is a policy that can be attempted to use to do that. It wouldn't be in any countries interest to do this as it can significantly reduce the value of countries currency whether america still do it i don't know but I think it was a german or brit working for japan who created it and he later went of to say it doesn't work! yet Governments still use it, in theory it's used to stimulate growth and create jobs not to take over land though I imagine government debt from loans is a big factor as if inflation rises with GDP which USA economy is currently growing at 6% in theory it reduces the debt as you technically have more money to pay it off.
basically the more quantitative easing you are doing the easier it will be to pay off your debt to china at the risk of damaging your own economy
basically the more quantitative easing you are doing the easier it will be to pay off your debt to china at the risk of damaging your own economy
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