Re:The world should think better about catastrophic and exis...
by fennecfoxen on Wednesday July 01, 2020 @08:21AM
(#23700576)
Oh, sure, money itself may conjured such that it never runs out, but the ability of the government to tap the economy's output is definitely finite.
If you start just conjuring money to bridge the gap, you're basically robbing whoever holds money (or other financial instruments denominated in your currency). These parties then work very hard to stop holding money. When that process is done, you're back where you started, only with less trust, higher transaction costs, and elevated risk burdens depressing output across the economy.
If you start just conjuring money to bridge the gap, you're basically robbing whoever holds money (or other financial instruments denominated in your currency). These parties then work very hard to stop holding money. When that process is done, you're back where you started, only with less trust, higher transaction costs, and elevated risk burdens depressing output across the economy.