Why Government Doesn't Print UNLIMITED Money? #Shorts

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Have you ever wondered why the Government just doesn't print unlimited money?

Printing more money doesn’t increase economic output – it only increases the amount of cash circulating in the economy. If more money is printed, consumers are able to demand more goods, but if firms have still the same amount of goods, they will respond by putting up prices. In a simplified model, printing money will just cause inflation.

If a country prints money and creates inflation, then there will be a decline in the value of the currency.

To watch more of such informative videos, make sure to keep watching Nikhlogic #Shorts
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I always wondered this, it makes a lot of sense now. Thank you sir

Aj-memo