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2007-02-15 17:14:41 · 7 answers · asked by lalu 1 in Politics & Government Government

7 answers

No, the government causes inflation. Realistically, our money is entirely valueless; the only reason it has more nominal value than some play money is that the government says it does. The original value of a dollar bill was based on a certain amount of gold or silver stored in a bank, which one could remove at will by presenting the bill to a teller. Each time a bill was printed, a little more silver was added into the bank's reserves depending on how valuable the bill was. Now the value of a dollar is based solely on the government's word, so a $1000 bill is worth precisely the same as a $1 bill (plus whatever it cost for the extra ink for the fancier decoration). Once the government collapses, do you really think the money will be worth anything to anyone?

Inflation is not a rise in prices -- the rise in prices is one symptom. Inflation is the devaluation of a certain amount of currency, usually by an increased supply. The law of supply and demand applies to currency, too: the more of it there is, the easier it is to get and the less valuable it is. Therefore, the more sheets of dollar bills the government prints, the more inflation occurs, and the less valuable the dollar in your pocket.

I always laugh when the Federal Reserve reports on the amount of inflation in the past quarter, year, etc. -- right before I begin sobbing. They're so stupid they can't see past their own noses anymore. By removing the gold and silver backing from dollar bills, the government has entirely devalued the dollar and, I fear, doomed our economy. Oh, yes, it made the dollar more available to people -- but has that made anyone any richer? No. I'm quite sure that if the dollar had not been debased, the poor and rich would retain their present standings in society. The amount of money circulating in the economy is about the same now as it was then; it's just been split into so many different tiny units that the value has fallen drastically, so that it takes more dollars to equal a certain value.

2007-02-15 17:37:01 · answer #1 · answered by Richard S 5 · 0 0

Government must curb inflation by ordering sellers to lower the prices of goods and they must be monitored by secret agents so that sellers will not notice them.

2007-02-16 02:25:00 · answer #2 · answered by FRAGINAL, JTM 7 · 0 0

Government spending and pork barrel politics are the main causes of inflation.
Can government curb inflation?.....of course, but don't count it.

2007-02-16 01:19:39 · answer #3 · answered by mantle two 4 · 0 0

The government does no print more money to stop inflation. It actually prints less money. Which leads to a small recession, and a higher rate of unemployment.

2007-02-16 01:28:01 · answer #4 · answered by Frank 1 · 0 0

The illegal and PRIVATE Federal Reserve determines what the inflation rate will be. Our government, like all governments on this planet, is subservient to the banking cartels.

2007-02-16 01:34:18 · answer #5 · answered by Anonymous · 0 0

No. Only lalu can do something. He can reduce fares for transportation of goods.

2007-02-16 01:22:48 · answer #6 · answered by Anonymous · 0 0

sure the fed just prints more money.

2007-02-16 01:18:05 · answer #7 · answered by Anonymous · 0 0

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