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Re:How Fake Money Saved Brazil (2010) by jomamaxx on Saturday September 03, 2016 @06:13PM (#12421500)
Errr, yes.

US, Canada, UK, ECB, Norway, Aussie, Sweden - do not print money to pay bills, as you find in Brazil, Venezuela, China, every African state, and a good chunk of the rest of the world.

Re:How Fake Money Saved Brazil (2010) by aianus on Saturday September 03, 2016 @10:22PM (#12422340)
The US certainly prints money to pay its bills. The fed prints money and introduces it into the economy by purchasing treasuries. It's exactly the same thing.
Re:How Fake Money Saved Brazil (2010) by jomamaxx on Sunday September 04, 2016 @12:08AM (#12422636)
No, dude.

Not the same thing at all. In fact - your very statement clearly indicates that it's not the same thing.

The US 'gets money' by taxation - and by selling bonds. Some of those bonds are later purchased by the Fed, using money printed by the Fed. That's how money gets into circulation.

In short: US currency is backed by US Government bonds. That's the 'asset' that backs US currency.

It's not 'money printing' - because the US Government has to issue debt in this case. Someone - somewhere - in the USA, Japan, China etc. has to actually lend the US money - at a certain interest rate in order for the transaction to happen.

So the US government does not print money. It just issues debt. The Fed's actions are a totally separate process.

Now - when Venezuela 'prints money' - it just does that. It literally just issues currency to itself to pay it's bills.

That is completely crazy. And that causes hyperinflation.

Re:How Fake Money Saved Brazil (2010) by gone35 on Sunday September 04, 2016 @03:28AM (#12423239)
Nope. You would be surprised, but it is indeed the same thing. See e.g. Sec. 29-2 in [1] (or any other undergraduate econ 101 textbook, for that matter).

[1] https://books.google.com/books?id=K-jKAgAAQBAJ

Re:How Fake Money Saved Brazil (2010) by jomamaxx on Sunday September 04, 2016 @04:11AM (#12423346)
No. You are 100% wrong.

Not believing that there is any sound economic principle to validate your position, I checked your reference:

Your reference says nothing other than a few, very basic things about how the Fed is structured. It says absolutely nothing about the difference between 'raising debt + open market bond purchases' (how the fed does it) - vs. the hyperinflationairy issues related to governments that influence their central banks and basically print money.

So not only are you wrong - but your borderline lying by posting references that have nothing to do with anything.

In summary: aside from taxation, the US government generally can only raise money by issuing debt. They cannot print money willy nilly as they do in places like Brazil.

Re:How Fake Money Saved Brazil (2010) by gone35 on Sunday September 04, 2016 @04:15AM (#12423351)
So not only are you wrong - but your borderline lying by posting references that have nothing to do with anything.

I see. Nevermind.