If we enter a reccesion and we all have no money why dont we print more money. We could solve africas problems about no money for food and treatment and we could solve homelessness and low pensions and incomes if we just print off a couple hundred billion more pounds. I dont see why we cant because then the whole world will have a bit of money if all counties chip in.
2006-10-05 11:31:34 · 9 answers · asked by jakey.uk07 1 in Politics & Government ➔ Other - Politics & Government
Besides all of the other answers...
Why are you posting this question on the U.S.A. site? I am here, and have selected U.S. questions only, so I don't get why this question is applicable?
2006-10-05 11:39:19 · answer #1 · answered by abfabmom1 7 · 0⤊ 2⤋
Because the more money you print, the mroe you Devaluate a currency.
The more devalued a currency, the more worthless it is. If we printed, sat, an extra 5 Billion Pounds worth of notes, the Sterling would drop horrendously in the money markets, and prices would rocket to compensate.
NB
Oldfootloose, we didnt accept the Euro..i assume you never see the News and hear about the currency markets, hey?
Last time i checked, the Sterling beat the Dollar to a worth of about 1.65 Dollars to the Pound
2006-10-05 18:34:29 · answer #2 · answered by thomas p 5 · 0⤊ 0⤋
Part of Africas problem has to do with just that idea- one country has devalued their money so much by printing extra, their economy has completely collasped.
Money is based on gold/silver reserves. Currency show a part of the share guaranteed in its value. Without the reserves, its like writing a check with no money in the bank to back it up with. Or like a credit card with a zero limit.
2006-10-05 18:40:22 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Go back to school.
If your in England, didn't you change to the euro?
Here is my quick answer
All your money comes from Milk
all your villagers have had wholesome and tasty milk
Now you decide to make more so you add water
Now you have MORE but it is far less quatity
Got IT!
2006-10-05 18:43:05 · answer #4 · answered by Anonymous · 1⤊ 0⤋
Because of inflation. When you randomly print money you de-value the money you print.
2006-10-05 18:35:34 · answer #5 · answered by Todd A 2 · 0⤊ 0⤋
Governments through history have tried this from time to time, but you can't do it for very long without it coming back to bite you. It is also the reason counterfeiting is wrong.
2006-10-05 18:47:54 · answer #6 · answered by Bad bus driving wolf 6 · 0⤊ 0⤋
Money is based on your silver reserves. Printing more money only devalues it.
2006-10-05 18:33:52 · answer #7 · answered by farahwonderland2005 5 · 2⤊ 0⤋
there has to be gold and or silver to back up the money that is printed.
2006-10-05 18:38:59 · answer #8 · answered by Jenny A 6 · 0⤊ 0⤋
And accelerate inflation?
2006-10-05 18:44:50 · answer #9 · answered by Anonymous · 0⤊ 0⤋