how the currency controlled? Why a country doesn't print as much money as they want for their currency?

Answer 1

what money is worth is determined by its value. If there are only 100 dollars available between 200 people, each dollar is valuable to those two hundred people. If you now print 100,000 dollars for those same 200 people, each dollar is not valuable by itself.

So printing money would lower the value of that money. Even though there is more of it, it would turn dollars into a pennies worth.

A country can not increase their worth by printing money, only by making the money sought after, by increasing the economy.

Answer 2

Currency is controlled in two ways: printing or minting of money and what is called the "reserve," the amount of cash a bank must keep on hand against its deposits.

The more money is made, the molre worthless it is, or the higher inflation goes, so you need more cash to buy anything.

The lower the reserve, the more "money" banks can lend customers. The money is not real, just a debt, so the bank is in effect creating money Once again, the lower the reserve, the more inflation increases.

Answer 3

Faith and Confidence. Those are the two almighty words that control a government's money printing capability.

Answer 4

INFLATION, money would just become less valuable e.g. need a grand for a loaf of bread.