Topic: Economics Are down now it's time print money but not the old ways new ways (Read 132 times)

That is an existing policy although not exactly in this way. The way it will go into effect is that US regime will refuse to accept any dollar that is already outside USA to come back in. For example I'd say when the dedollarisation grows to a high percentage, high enough that the money flooding into US economy is threatening to crash it with super-hyper-inflation, they'd simply reject all of it.

There is a lot of other things they'll do in that scenario like refusing to buy back their bond crap they've been selling to whichever country is foolish enough to buy it (aka the US debt countries like Japan, China, etc have been buying).
In fact I believe this is one of the reasons why different countries like China are slowly selling these bonds instead of dumping them suddenly.

OP's argument is that they should make strict policies to take those printed monies out of the USA. That's why he said this:


If they manage to pull something like that off, then there might be no adverse effects on the US economy but such is not likely as those monies will find it's way to the US economy one way or another.

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OP, why I recognize your constructive ideas, printing more money will only cause more problems than solutions. We have seen this happen over the years and it would continue to be the case.

Could work but I don't think countries will be willing to buy out a weakening currency right now, not unless they are willing to trade resources which the US doesn't have.

The best case scenario for the US to thrive amidst this economic turmoil is not only selling their currencies to unassuming countries who still think the US is the only superpower on the planet. They could also lean into mobilizing their economic efforts on countries they have attacked like Iraq who is apparently rich in natural oil, and perhaps also look into mobilizing their economy instead of allocating a massive amount of their budget into military. While I understand the risks that this may ensue especially against a brewing war between the western and eastern hemispheres of the planet, Mutually assured destruction still sets the precedent of an equally-devastating attack against opponents even if the US's military weakens because of the budget allocation. So it's not like the countries in question's just gonna attack the United States of America just cause they are struggling with money.

The US is in a precarious situation at the moment that disallows it from committing any more stupid mistakes in the process. What they need right now is not necessarily a stronger army but an economy that will save them from recession, which changing the definition thereof wouldn't really do.

I used to wonder about the rationale behind printing money and its connection to inflation, seeing it as a game and gimmick in the financial sector. Why is it that printing more money leads to inflation? And is there a bias towards the internationalization of the dollar over other currencies? Okay, we understand that for the sake of ease in the foreign market, also known as Forex, it may be preferable to adopt some currencies over others to facilitate transactions among transitioning markets. But if this practice is detrimental to citizens living in developing countries, then why can't every country operate with its own currency? Why must a country resort to using the dollar for foreign transactions? Why can't I simply use naira or yen for my transactions?

I suppose it should be a matter of choice whether a country decides to use its own currency or adopt another currency. I feel will be easier or beneficial. But why does it have to be the dollar? Isn't that somewhat imposing in the market?

Why can't we shift our focus away from fiat currencies and towards digital currencies? At least there are numerous benefits tied to the use of digital currencies. For instance, with digital currencies, there's no need to worry about being attacked on the road and having your cash stolen. I believe it would be easier for us to use digital currencies compared to cash because it would reduce issues like armed robbery and kidnapping, as these crimes often involve cash transactions.

I'm not denying the existence of cyber thefts, but protecting online money is generally easier than protecting physical cash. The world should be simplified, and while there should still be an option for those who choose to use cash, its usage should be reduced, and the adoption of digital currencies should be encouraged. I may not know much about how the financial sector operates, but from a layman's perspective, life should be made easier and simpler.

and in other countries this is also done, not only in America, that's why the dollar currency is still strong against other currencies even though dollars continue to be printed all the time.
because in other countries they do the same thing too, they make money and put it into various sectors, therefore inflation occurs all over the world.

That is something that only US can do, not others including EU. That's because dollar is still the most used currency that is being printed out of thin air.
Additionally you are forgetting that when they print money, they are printing it to ALSO use it domestically. The money injected into different sectors will eventually lead to inflation even though they suppress it hard by increasing the interest rates.

It is pretty hard to understand what your point is, but printing money out of thin air creates inflation, just like when different governments were printing money during the Covid period and using most of it for stumulus payments. This kind of printing is sure to create inflation, because it is basically for consumption and nothing else, and that is why inflation is somewhat of a global issue right now, due to the government policies and decisions of a few years ago.
Isn't this another type of stumulus, in form of palliative packages, and the money for these packages have to come from somewhere, won't it?

printing of money does not always lead to higher inflation.. it all depends on where that printed money then goes

for instance if its spend to subsidise public service and public goods. EG subsidise farmers or oil refineries. it allows for the end produce of food and fuel/plastic to stay low cost thus keeps the CPI(consumer price index) low.

however it can go the other way if the money leaves the country it benefits those other countries with new income. whilst then harming the domestic needs not being met due to then having government deficits of not having the cash to then fund public services and thus services then need to charge the people directly. EG privatisation of ex public services which then sell services at a premium

AFAIK, the result will be the same even if they transfer the fiat out of their country because they will need to buy it back once other country started to convert it again to their own fiat currency. So doing unlimited print for a short period of time will just create inflation despite they will transfer it outside. That’s why they are forcing dollar to be use in global trade so that other country will absorb their fiat permanently but transferring it alone will just result to keep it coming back to them.

They need demand to USD outside their country in able to achieve unli print without inflicting interest to their own country. Too bad that Brics is already sharing the Dollar market globally so it will be very hard for them to this.

I have already heard several times that in the USA this is what they do when printing cash dollars. They can transfer cash dollars to other countries without any problems, but they put up all sorts of obstacles to ensure that the cash returns to the United States. If large amounts of cash enter the United States, especially if it is imported by private individuals, then its origin and reason for import are carefully checked. If the slightest violations are detected, the dollars are confiscated, and a private person may end up in prison.
But it’s a little unclear to me why, if cash dollars are transferred to Ukraine as assistance to protect against Russian military aggression, then this should weaken the national currency of Ukraine? Most likely, the Ukrainian hryvnia will weaken if Ukraine does not receive assistance and this will affect its ability to provide a worthy rebuff to the aggressor.

Idea is not that bad, but maybe a suggestion of bad accountant. I mean, if you are (as government) giving money to the companies, which in other terms, means governments are investing in the companies. Right? And if they are investing in companies, the the production rate will increase, as companies will use those funds somewhere, and in return, the inflation will decrease when there will be more products.

But if you think, implementing huge taxes on employers can stop them going against company, then move on. This will create some fights in the system. I mean, no doubt, if the taxes that a company is paying are high then your plan might work but otherwise, it will not and that company has to use those funds somewhere.

What a coincidence by the way.

That's actually a good one.

You have made some valid points, but overall this strategy is risky one but worth, another interesting thing here is, all of this plan will fail, if the real supply made public (no transparency with the users) while in BTC we are aware if the supply and if it is increased or decreased (in circulation). Everything here is public but fiat is so controllable that, things like these seems risky but hey they are occurring and we don't aware of that.

If they start print money they can print money but they have to make sure that money does not stay in USA If too much money stays in USA that Will trigger inflation and yes they can give to companies but the Same time in order to make sure companies don't make wages higher there must be a lot company taxes per employers so this way the companies don't make wages high and this way money does not going in to real economy like shops and local business enterprises so this way we avoid inflation.
Also If the global money markets rates will be cut and federal reserve will cut rates then the commercial banks will keep the rates still up for the retail customers.
And war will take money out of USA to ukraine and Israel so that will make israel and ukraine currency lower but it will save the USA dollar from inflation.
If the Europe Will do the Same how i just said then they can start print money and avoid inflation the key point is to make sure the money does not getting into circlelation in real economy but it will stay on off shore banks and financial instutions accounts and on the markets and assets like crypto stocks commodities and gold oil.

So this time no stimulus for people but instead of that goverments together with some hedge funds and wall street can give people what they need like food and housing.
So this way no inflation and no danger of dollar devaluation and If we reduce using moneuy for everyday expenses instead of that we can pay with reward points gift cards and with credit cads and probably soon the food stamps or vouchers.

Becouse the inflation is serious now If we want to produce money and support markets and give money to wall street so they can make profit to support the leverage trading and give funding to margin maintance to keep well short and long market system them we must be sure no matter how big we print brrrrrr and keep rates lower we don't let the commercial banks rates much lower and we make sure real economy don't get much money in circlation and we rise taxes more If there will be companies who make some wages higher so higher the wages the higher will be taxes this way it Will keep economy stable not over booming only boom can be happening in the markets but with strickt capital control to make the companies don't let the money in to real economy.
We tell to companies to use amex or other high limit cards for their puraches just to avoid the fact that there Will be too much money in real economy this time we can not let the real economy to prosperus we need to be very careful with inflation.