if it the ministry of monetary of any country makes money and currency then why dont the ministry makes this much money so that the country no longer suffers form poverty and ultimately corruption?
2007-08-27 04:21:30 · 6 answers · asked by Anonymous in Society & Culture ➔ Cultures & Groups ➔ Other - Cultures & Groups
If they did that (depending on how much was printed -- let's say a million dollars for everyone), a million dollars would be worth about a cent, because EVERYONE would have a million and it wouldn't mean anything. The shopkeepers would start charging more because everyone's rich, and so nobody would be able to buy anything, because they only had a million dollars, and what they were trying to buy now costs a million and a half. Everybody would be millionaires and nobody would be able to buy a cup of coffee.
2007-08-27 04:34:53 · answer #1 · answered by Erise 1 · 1⤊ 0⤋
Not easy to answer simply. Essentially money represents an amount of value or work; so rather than trading services (work) or products (like food, clothes etc..) we use money. Services and products are priced according to supply and demand, so if something is rare and very much in demand it costs a lot to buy it.
If everyone was given money, without producing something of value, then the value of money would be less and it would cost more for everything (this is called inflation).
This is just a quick explanation.
2007-08-27 11:32:07 · answer #2 · answered by Pirate AM™ 7 · 1⤊ 0⤋
The reason governments don't print money and give it out is that it is inflationary. Prices would skyrocket. Think about it; pretend the government gives everyone $1 million dollars. What would most of the people do? They would run out and buy things like fancy cars, houses, clothes, right? This would increase the demand for these goods which would drive the prices up drastically. It's basic economics.
2007-08-27 11:29:36 · answer #3 · answered by Anonymous · 1⤊ 0⤋
Money, paper money, is not itself of any value. It is like a check: it *represents* something of value. So, lets say each one dollar bill represents a small bit of silver. Well, there government must have a building somewhere which has in it a large quantity of silver, enough silver so that if people want to trade in their dollar bills for government silver, they can.
There can be no more dollar bills than can be covered by the government's silver. And the government cannot *make* anymore silver, because silver comes from the earth.
I don't know if this helps or not.
2007-08-27 11:42:23 · answer #4 · answered by Anonymous · 1⤊ 0⤋
Corruption is from seeking power, not wealth. Printing for money just leads to inflation so things cost more. If you want to end poverty, find ways to get education to people so they can earn enough money to live well.
2007-08-27 11:34:52 · answer #5 · answered by nursesr4evr 7 · 1⤊ 0⤋
happily printing more money does NOT make the country richer in any way at all..............look at the Germans in the last war the mark went mad and it became so bad that you would need a bucket of money to even be able to afford a loaf of bread.
If you kept printing money eventually the economic system would collapse, as to be able to print money you have to have the funds to back up the printed money.
hope that makes sense to you.
regards
2007-08-27 11:27:50 · answer #6 · answered by candy g 7 · 1⤊ 0⤋