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View Full Version : What would happen if the U.S. stopped printing money for 5 years?



jehst
01-22-2008, 09:39 AM
economists.. theorize.

thepointman
01-22-2008, 09:42 AM
Ron Paul would be president :D

JabCross
01-22-2008, 10:05 AM
depends

are we still making coins?

is money still being destroyed?

1veedo
01-22-2008, 10:09 AM
Uh money is created by banks via loans. The government just prints money so we can put hard cash in our wallets. Nothing would really happen except we'd all have old money in our wallets.

VR6Guy
01-22-2008, 10:10 AM
Uh money is created by banks via loans. The government just prints money so we can put hard cash in our wallets. Nothing would really happen except we'd all have old money in our wallets.

Someone has had an economics class. Printing money is not the primary cause of inflation.

ROB

jehst
01-22-2008, 10:11 AM
depends

are we still making coins?

is money still being destroyed?
both no

jehst
01-22-2008, 10:14 AM
lets also say that banks have to loan out exactly what they have, and no more. therefore, the banks can only profit on the difference between the interest they pay to depositors and the interest on the loans they provide to borrowers, in addition to the interest they make on their own private capital.

Nagalfar
01-22-2008, 10:56 AM
economists.. theorize.

Iran and N. Korea would just up their printing of American money.. they were without any doubt the second largest printers of American greenbacks there is.

jehst
01-22-2008, 10:58 AM
Iran and N. Korea would just up their printing of American money.. they were without any doubt the second largest printers of American greenbacks there is.

north korea? what do you mean?

Spuddy
01-22-2008, 11:03 AM
Someone has had an economics class. Printing money is not the primary cause of inflation.

ROB
printing too much money= more paper money than actual money= paper money loses value


one of the ways the germans hurt the british in WW2 was by counterfeiting stacks upon stacks of british pounds, then dropping them via bombers onto london and other major cities to ruin the economy

sumguy
01-22-2008, 11:05 AM
north korea? what do you mean?

The U.S. isn't the only country that prints dollars.

Nagalfar
01-22-2008, 11:10 AM
north korea? what do you mean?

Iran and N. Korea are the largest counterfeiters of American currency.. it is estimated that N. Korea prints between 80 and 130 million American Dollars annual.. I dont recall how much Iran prints, it was something in the area of 70 million if I remember correctly.

dr_D
01-22-2008, 11:14 AM
Uh money is created by banks via loans. The government just prints money so we can put hard cash in our wallets. Nothing would really happen except we'd all have old money in our wallets.

yep thats why during economic expansion inflation pressure typically rises due to households and firms wanting more money for consumption/investment.

ironman1964bc
01-22-2008, 11:17 AM
Uh money is created by banks via loans. The government just prints money so we can put hard cash in our wallets. Nothing would really happen except we'd all have old money in our wallets.

The govt doesn't print money, that is half the problem. The Federal Reserve is a private corporation.

jehst
01-22-2008, 11:40 AM
printing too much money= more paper money than actual money= paper money loses value


one of the ways the germans hurt the british in WW2 was by counterfeiting stacks upon stacks of british pounds, then dropping them via bombers onto london and other major cities to ruin the economy

all is fair in love and war.


Iran and N. Korea are the largest counterfeiters of American currency.. it is estimated that N. Korea prints between 80 and 130 million American Dollars annual.. I dont recall how much Iran prints, it was something in the area of 70 million if I remember correctly.

thats not that much.