Re:I'm going to work full-time on free software
by astazangasta on Wednesday January 16, 2019 @11:50AM
(#18922399)
There are plenty of times where printing money didn't produce hyperinflation. For example, the US pursued a policy called quantitative easing over the last decade which involved dumping trillions of dollars into the coffers of banks; inflation is still sluggish. This is because there are four terms in the equation of exchange: MV=PQ. If you increase M (money), P (price) will only go up if V (the velocity of money) and Q (demand) remain constant. In the US, V was very low and there was a lot of slack in our productive capacity (mostly because construction had overbuilt during the bubble years). The result was no hyperinflation or inflation of any kind.
Print money to fund government programs = Venezuela
Historically, was there ever a time that hyperinflation didn't end badly?