prices go up?

Why.

Help.

Why is government printing more money and giving it to me a bad thing. I need it to live.

I’d like both the econ101 (fake, lib, propaganda) and the marxist (real, truth, based) answer pls.

  • stinky [any]
    ·
    2 years ago

    Everything costs more and people have to take debt till they can’t pay anything anymore. That leads to recession, right? When the govt bails out the banks and causes another inflation because they’re printing more money? So now everything costs more etc etc etc.

    But can’t the govt, at the bailout stage, bail out the people and tell the companies to not increase price, thus not causing inflation?

    • Lovely_sombrero [he/him]
      ·
      2 years ago

      When the govt bails out the banks and causes another inflation because they’re printing more money?

      Not necessarily. If owners of big banks (rich people) lose all their money and the government prints money to make them whole, this shouldn't create any inflation. Printing by itself is not what creates inflation, you can print $100B and hand it to Bill Gates and this won't cause inflation since it won't increase demand. Of course doing that is unfair and a total waste of money, but that is capitalism...

    • CantaloupeAss [comrade/them]
      ·
      2 years ago

      yes https://en.wikipedia.org/wiki/Nixon_shock

      but :porky-happy: didn't like that so they don't do it anymore