What is money?
Simple question for some of us naive people. What is money?
If money is piece of paper, printing more is a good idea. Everybody can have some.
Wait! German learnt the hard way. It causes inflation.
So, why is all feds of the world printing more?
They are worried about deflation. They say! They need to "inflate". They need to utilize the "current exceess capacity" in the economy. They can do that, if they print money, distribute it. So that, everybody else can buy more milk, bread. So, instead of throwing milk away (excess capacity), you can use it.
What a noble thought!!!!
What is wrong with this?
Well, that is what socialism is. So, what was wrong with socialism? Why did USSR fail? Why did China abandon communism?
If we get free food, what do you think we will do. We will produce more population! Create more misery in the future. Create USSR, and fail!
More population means more resource consumption. That means more oil, food, metals and more of everything.
What suffers? Environment. So, wait... Am I suggesting that printing of money is going to create environmental issues?
Tell me where did I get it wrong!
Tuesday, March 1, 2011
Subscribe to:
Posts (Atom)