If everyone is so skint, why can't the Government just print more money? Discuss!

[Box of Frogs]

What effect would the government producing more money have on the economy?

 

[Return of the Rev]

Or make more gold

 

[Kumquat]

More printed money means more in circulation means people spend more means prices go up means inflation. Tories don't like inflation.

 

[Titanic]

What effect would the government producing more money have on the economy?

What do you think Quantitative Easing to the tune of £325,000,000,000 since March 2009 is then?

 

[Racek]

Or make more gold

No point. England would just sell it again when the price was rock bottom!

 

[Monsieur Le Plonk]

Printing money = higher inflation = higher interest rates = house repossessions = higher unemployment = more benefit payouts = higher govt borrowing = greece

(or something like that)

 

[fly high]

What effect would the government producing more money have on the economy?

Der!! That is exactly what they have been doing for the last 2 years, another £50billion just a couple of weeks again. Buggers up savers & people converting pension savings into pension paid as they get worse rates, fuels inflation. Still gives banks lots more money to play with.

 

[Cappers]

You could always work more overtime and earn more...

 

[seagullondon]

I am not very poor. You just need to get large on Palace to lose their away games

 

[father_and_son]

Or make more gold

You can't MAKE gold you fool...

An alchemist can only CONVERT base metals into gold!

 

[Storer 68]

cos printnig many for no other reaon than to bolster the economy makes it worthless

 

[Return of the Rev]

you can't make gold you fool...

An alchemist can only convert base metals into gold!

i think i know al the chemist,drives a new merc?

 

[Tony Meolas Loan Spell]

Excellent then we can have a million pound note like they did in Nigeria. Worth f*** all but even so.

This is not the weimar republic.

 

[The Antikythera Mechanism]

It's very difficult to dispose of large amounts of cash these days, even trying to pay the stuff into a bank account shows up on the HMRC radar.

 

[KZNSeagull]

Not quite the same thing, but you could end up down the Zimbabwe route and end up paying for a loaf of bread using "bricks" ie bundles of 100,000 Zim dollar notes that are weighed rather than counted!

 

[Return of the Rev]

cos printnig many for no other reaon than to bolster the economy makes it worthless

#
WELL AT LEAST WE WOULD KEEP THE OLDIES WARM THROUGH THE WINTER!
ONE PROBLEM SOLVED

 

[Don Quixote]

Nothing much, only hyper inflation.

 

[kingcole]

Printing money = higher inflation = higher interest rates = house repossessions = higher unemployment = more benefit payouts = higher govt borrowing = greece

(or something like that)

Nothing like that!

If Greece could print money it would be a great option. It's the fact they can't as they are in the Euro which is so telling.

 

[Weststander]

Unfortunately, printing money in the UK within a global economy, just divides the true/actual wealth of the country, by more paper notes.
I.e. inflation, and a devaluation of the £ .... so really no one would be wealthier.

QE didn't put more cash in circulation for us. It was the Government buying up paper bonds etc to stop defaults and strengthen key institutions. Again, no immediate effect on individuals, but it agreed by all (unbelievably) that this kept money supply going & stopped a depression.

 

[yxee]

The price of everything will rise proportionately so the nation as a whole won't be any wealthier. The Bank of England gives the money to the government, and in turn our own money is devalued. It's just another stealth tax.