Jump to content
RiRi

Would it still cause inflation if only necessary amounts were printed?

Recommended Posts

RiRi

I get that printing unlimited amount of money causes inflation. I understand that concept but what if only necessary amounts of money needed to pay off debts or to give people a life break were printed, would that still cause inflation? Couldn't this solve issues like having a better healthcare system if it already exists in such country or having one if it's non-existent in some countries? Or perhaps allow people go to university for free? Would it still cause inflation if only necessary amounts were printed?

Edited by RiRi

Share this post


Link to post
Share on other sites
HalfFull

I'm not sure if printing money makes any difference. I think its availability of natural resources that makes a difference and demand of the goods created by them. Because this does not remain static for a number of reasons then prices don't either, so companies start to charge more for anything from a car to a cup of tea, and then competitors change their prices and make special offers. It then becomes very complicated and inflation becomes necessary. It also happens due to innovation.  I actually did go to University for free but its no longer free in the UK. Economies worldwide are struggling. One day someone may come up with an answer to simplify things but I certainly don't know what the solution is.

 

 

Share this post


Link to post
Share on other sites
RiRi
8 hours ago, HalfFull said:

I'm not sure if printing money makes any difference. I think its availability of natural resources that makes a difference and demand of the goods created by them. Because this does not remain static for a number of reasons then prices don't either, so companies start to charge more for anything from a car to a cup of tea, and then competitors change their prices and make special offers. It then becomes very complicated and inflation becomes necessary. It also happens due to innovation.  I actually did go to University for free but its no longer free in the UK. Economies worldwide are struggling. One day someone may come up with an answer to simplify things but I certainly don't know what the solution is.

What changed? Why is university no longer free in the UK (England)? 

Share this post


Link to post
Share on other sites
HalfFull

I think the Government at that time felt that there were so many people going to University that they couldn't continue to provide it for free. I remember being shocked but also relieved as it would have been my parents paying. They must have paid for my youngest brother since I can't see how else he could go. I had thought that fewer people would attend but this has not been the case. Money is found somehow.

Share this post


Link to post
Share on other sites
RiRi
5 minutes ago, HalfFull said:

I think the Government at that time felt that there were so many people going to University that they couldn't continue to provide it for free. I remember being shocked but also relieved as it would have been my parents paying. They must have paid for my youngest brother since I can't see how else he could go. I had thought that fewer people would attend but this has not been the case. Money is found somehow.

You had/have wealthy/not poor parents? Money can always be found as long as the person either is a good high school student or if they have good credit, I suppose. Because if you have good credit, you can always take out loans. And depending on how high your credit is, the bigger the loan you can take. But taking loans is not a smart thing to do unless you know you will have a high paying job in the future to pay it off. 

Share this post


Link to post
Share on other sites
HalfFull

They have always been financially comfortable but definitely not wealthy.

Share this post


Link to post
Share on other sites
Nesf
13 hours ago, HalfFull said:

I think the Government at that time felt that there were so many people going to University that they couldn't continue to provide it for free. I remember being shocked but also relieved as it would have been my parents paying. They must have paid for my youngest brother since I can't see how else he could go. I had thought that fewer people would attend but this has not been the case. Money is found somehow.

Shortly after I left university, they introduced a loan system... so you get money from the government in the form of a loan that you are expected to pay back when you start work.

I don't know whether cancelling unpayable debt would make such a difference to inflation.... probably not that much. I know that in some cases, people can declare themselves bankrupt and have their debt written off, but this is always a last resort and not encouraged, otherwise it would be exploited and everyone would want to do it, and obviously that can't happen. It also means that it's just about impossible to get credit for anything in the future, and can cause a lot of hardship in itself.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Restore formatting

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.