News for hackers. Stuff that matters.

A comment on Venezuela’s Currency Has Had its Biggest Monthly Collapse. Parent comment

Re:Venezuela’s Currency Has Had its Biggest Monthly Collapse by Spooky23 on Thursday November 24, 2016 @08:38PM (#13033885)
Printing money is only a problem when it's combined with a loss of faith and credit.

It can be a useful technique to tax wealth and provide liquidity. (i.e. "Quantitative easing")

[ Parent | on HN ]
Re:Venezuela’s Currency Has Had its Biggest Monthly Collapse by edblarney on Friday November 25, 2016 @01:52AM (#13034788)
QE is pretty far from printing money, but admittedly, it's related.

But in any event: the US Fed, even their QE policies - are managed fairly intelligently. They're done in a manner that keeps the faith in the USD.

The USD because it's such a broad currency, gives a lot of opportunity for the Fed to do some crazy things.

Venezuela has a lot less 'wiggle room' - that said - small countries that act responsibly will do fine.

Sweden, Denmark etc..

[ Parent | on HN ]