Deflation
So there's a big row right now regarding deflation, as it, it's happening and it's bad (TM).
We've got a huge deficit as well. Why not simply print more money? When Germany printed money to pay the fine it incurred after WWI, it caused enormous inflation -- the downside of printing more money. But if you've got deflation, it seems like printing more money would cause the inflation rate to increase (just what we want!) while giving the government much needed cash.
We've got a lot of smart economists around, so I'm thinking there must be some obvious reason why this isn't a good idea.
We've got a huge deficit as well. Why not simply print more money? When Germany printed money to pay the fine it incurred after WWI, it caused enormous inflation -- the downside of printing more money. But if you've got deflation, it seems like printing more money would cause the inflation rate to increase (just what we want!) while giving the government much needed cash.
We've got a lot of smart economists around, so I'm thinking there must be some obvious reason why this isn't a good idea.