why the state does not print a lot of money? - page 7.

Ayaah

newbie

Activity: 140

Merit: 0

Quote from: EVOS on April 30, 2018, 03:33:30 AM

why the state does not print a lot of money? than debt to other countries. is not it easier to make money than debt and ultimately burdens the state?

whether if printing money will have an impact on the money itself? or will it impact the value of the money in the eyes of the world?

The states can not easily print a lot of money because it could creat trouble in the economy, and if that happend the value of fiat money will be lost, because the demand and the supply is not balanced any more. That's why their is an egency that always keep on monitoring about the printing of paper money.

Kelvynn

newbie

Activity: 14

Merit: 0

The state do not print alot of money due to many reasons.when alot of print money are made by the state the money loses it value due to it number of the print in the economy and this causes alot of economic hardship to the state.these hardship includes increase in infilation and also decrease the value of the state money as compare to other international currencies.

AleSergio

sr. member

Activity: 378

Merit: 250

BuyAnyLight - Blockchain LED Marketplace

Quote from: usahaali03 on April 30, 2018, 04:06:25 AM

why the state does not always make money, because if a country is printing too much money, the value of that currency will go down so it will cause more problems, that's why they prefer to owe rather than make money

You have it right. This is the inflation of the currency. When they print more money then they can, it will increase the supply and the demand will grows will still by providing a lot of supply. So it will have a negative effect, thats why they dont print more

tranquangvinh

full member

Activity: 546

Merit: 100

If the state prints too much money it will reduce the value of the currency, which means inflation. It's like supply and demand in the crypto, when supply is greater than demand, the value of the currency will decrease.

Cryptotenuse

jr. member

Activity: 44

Merit: 1

Quote from: usahaali03 on April 30, 2018, 04:06:25 AM

why the state does not always make money, because if a country is printing too much money, the value of that currency will go down so it will cause more problems, that's why they prefer to owe rather than make money

I don't think this is a completely adquate answer. States usually borrow money instead of Printing it when they have given up their monetary souveranity to external powers.

MiukoOk

newbie

Activity: 168

Merit: 0

If you print more money then the value of money will decrease, you will have more money you do not participate in production, and all people who will be the producer of goods and services. . This is called the economy is inflation.

Hagrigton

newbie

Activity: 21

Merit: 0

They do. It's called "Quantitative Easing" or "Liquidity Injections". The EU has been doing this for the past few years in hopes of getting inflation above 0. When the state prints money, things get more expensive. That carton of milk that used to be 1.50 euro is now 1.75 euro. More money in circulation means it's less valuable.

The idea behind limiting bitcoin was to prevent it becoming a victim of inflation, like other commodities. But banks has a solution to that. It's called "Futures contracts". They allow huge speculators to bet their hyperinflated currency against a commodity, and it loses value. If bitcoin can be centrally regulated, this will happen.

ajaymukund

member

Activity: 784

Merit: 10

https://streamies.io/

Quote from: EVOS on April 30, 2018, 03:33:30 AM

why the state does not print a lot of money? than debt to other countries. is not it easier to make money than debt and ultimately burdens the state?

whether if printing money will have an impact on the money itself? or will it impact the value of the money in the eyes of the world?

n my opinion, printing more money does not make the state prosperous, but vice versa, which will lead to inflation. Simply put, a paper converted into national wealth is used to exchange goods in a So the money is printed in the amount of wealth, the country with the developed economy, the more wealth, so that their coins are printed as much and have the same value. US dollars or euros of Europe.

Boh manok

member

Activity: 328

Merit: 10

Maybe If the country prints too much money it will cause massive inflation and become a less valuable eye and will make all the goods will be expensive and will make a country become poor again

Emigham7

jr. member

Activity: 70

Merit: 5

If a state prints much money, the value of the currency will drop drastically. It is less dangerous to brow money than to print more money. That's why states adopts the browing system to avoid inflection

Demanderoca

newbie

Activity: 30

Merit: 0

Printing a lot of money by a certain will make their money's value lower but, there are some cases that the state really needs to print more. In a recession, with times of deflation, it is conceivable to build the cash supply without causing swelling.This is on the grounds that the money supply depends on the money related base, as well as the speed of flow. For instance, if there is a sharp fall in exchanges (speed of flow) at that point it might be important to print money to evade deflation.

Undermood

legendary

Activity: 950

Merit: 1000

Because states have to show a response to circulation money. So in order to make money, you have to have gold reserves in your treasure.
Secondly, printing money means injecting more money into the market. If money is available in the market, the value of money falls
When money loses value due to a lot of money in the market, it needs to be spent more in that currency than to be able to get a product. So inflation occurs.

pungopete468

hero member

Activity: 1470

Merit: 504

Quote from: Nikola95 on July 26, 2018, 09:31:12 AM

Quote from: EVOS on April 30, 2018, 03:33:30 AM

why the state does not print a lot of money? than debt to other countries. is not it easier to make money than debt and ultimately burdens the state?

whether if printing money will have an impact on the money itself? or will it impact the value of the money in the eyes of the world?

Inflation could happen if you print lot of money. That currency would lose it's value. After the inflation, there always come shortage of products. That's happend in Germany 100 years ago, or in Yugoslavia 20-30 years ago.

Zimbabwe is an example where they have a very large currency. even there they can buy Money with money. that's why the state has its own policy of printing money in circulation

RobotNIK

jr. member

Activity: 280

Merit: 1

ADAB Solutions First crypto exchange Islamic Cryp

If you print a lot of money, then they will eat inflation. So it's easier to borrow them!

Nikola95

full member

Activity: 231

Merit: 102

Quote from: EVOS on April 30, 2018, 03:33:30 AM

why the state does not print a lot of money? than debt to other countries. is not it easier to make money than debt and ultimately burdens the state?

whether if printing money will have an impact on the money itself? or will it impact the value of the money in the eyes of the world?

Inflation could happen if you print lot of money. That currency would lose it's value. After the inflation, there always come shortage of products. That's happend in Germany 100 years ago, or in Yugoslavia 20-30 years ago.

Henry Sy

member

Activity: 193

Merit: 83

Quote from: EVOS on April 30, 2018, 03:33:30 AM

why the state does not print a lot of money? than debt to other countries. is not it easier to make money than debt and ultimately burdens the state?

whether if printing money will have an impact on the money itself? or will it impact the value of the money in the eyes of the world?

why nations don't print cash, in light of the fact that if an excessive amount of cash then the estimation of the nation's money will go down so they want to obtain to different nations. Similarly likewise with coins if an excessive amount of supply however no intrigue then the estimation of the coin will go down

Bakemat

sr. member

Activity: 779

Merit: 250

Quote from: EVOS on April 30, 2018, 03:33:30 AM

why the state does not print a lot of money? than debt to other countries. is not it easier to make money than debt and ultimately burdens the state?

whether if printing money will have an impact on the money itself? or will it impact the value of the money in the eyes of the world?

The money has its value and it was depending on the volume just the same as cryptocurrency and that is the reason why the state and other governments does not create a lot of fiat.

Andrew S

newbie

Activity: 112

Merit: 0

Quote from: EVOS on April 30, 2018, 03:33:30 AM

why the state does not print a lot of money? than debt to other countries. is not it easier to make money than debt and ultimately burdens the state?

whether if printing money will have an impact on the money itself? or will it impact the value of the money in the eyes of the world?

Only the Som state can answer this question. Why can not they print more money for the country.

Fantastic33

member

Activity: 308

Merit: 12

The central bank determines the amount of money to be printed that will be circulating in the system. According to an article written by Bajpai (2017), too many or too little money that are printed have an effect to both macro and micro economy that may eventuall affect the public in a positive or negative way. Decisions on printing money is not that easy. Right amount of money is very crutial to make the economy sustainable and healthy.

Source: https://www.investopedia.com/articles/investing/053115/how-central-banks-control-supply-money.asp

Hallmader

sr. member

Activity: 1123

Merit: 253

The negative effect will not just be in the eyes of the world. The effect in the country itself will be drastic. Actually, it is very absurd to print a lot of money. It might only result to the currency not accepted in the world. If that happens, the economy of the country will surely fall hard. But all these monetary arrangements are a puzzle to me until now. It is built on a system that will only benefit the rich.

Topic: why the state does not print a lot of money? - page 7. (Read 2679 times)