Quote:
Originally Posted by Overlander23
Let's just take a second and be pedantic. The government is not currently actually printing money. It's not creating currency. It *is* creating debt. It's an important distinction because the two are different. As long as someone is buying the debt and thinks that the "investment" is sound, then there should be no problem. The long term ramifications of all this debt on the world market... that's another topic.
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Excellent point, that's something people don't quite understand. If we were printing money without creating the debt then we would be directly diluting the value of our currency - aka inflation. The increased money money supply may cause asset bubbles - or inflation in select markets - but not significant general inflation.