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Old Nov 15, 2008 | 01:15 PM
  #1  
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Default My apprentice asked me...

All the problems with the credit crunch etc etc

Why cant they just print more money and sort everything out??

Gulp, i didnt have a answer lol

Hmm good idea
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Old Nov 15, 2008 | 01:17 PM
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i thought the same but has it got something to do with inflation if they print more money?
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Old Nov 15, 2008 | 01:18 PM
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Sounds a clever boy rab,he must be a hun.
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Old Nov 15, 2008 | 01:19 PM
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if it was as easy as printing more and more it would devalue the currence to the point of worthlessness with inflation going through the roof.
mugabe in zimbabwe sent inflation to 100000% with the cash that previously bought you a house now buys you a loaf of bread
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Old Nov 15, 2008 | 01:40 PM
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The money in your pocket has no intrinsic value. The bit that is worth something is the "promise to pay the bearer" which used to be backed by cash and gold deposits at the Bank of England.

Then the rules were loosened and the banks didn't have to put the same deposits into the BoE so started borrowing from each other and here we are now.
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Old Nov 15, 2008 | 02:19 PM
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Printing more money causes Hyperinflation. Post WWI Weimar (SP) German government did it. Workers were collecting their wages 3times a day with a wheel barrow. No exageration. I think at one point the issued a 100 TRILLION Mark Note
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Old Nov 15, 2008 | 02:45 PM
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you can print more money, but it just means that tehre will be lots of omney sitting somewhere that no one can actually own

it's like your job, you earn x amount of money which you can get in cash eventually, but if you don't have it you can't get it
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Old Nov 15, 2008 | 03:20 PM
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It is currently devaluating faster than ever, now quicker than the dollar. You can bet your last POUND that as soon as it hits Ł1 to 1Eu, bam, we'll be in the Euro! It's all going to plan rofl.
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Old Nov 15, 2008 | 03:32 PM
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is his name Karl Pilkington?
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Old Nov 15, 2008 | 04:08 PM
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Originally Posted by KSA-Cossie
Sounds a clever boy rab,he must be a hun.

very good!!!

Originally Posted by Graham S1
It is currently devaluating faster than ever, now quicker than the dollar. You can bet your last POUND that as soon as it hits Ł1 to 1Eu, bam, we'll be in the Euro! It's all going to plan rofl.
Suppose its easy to see as having been engineered to create disorder, to bring about the collapse of the pound, before starting a fresh new system under the Euro.
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Old Nov 15, 2008 | 04:12 PM
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Originally Posted by Andy_R
very good!!!
Nice wee win and 3 points today too.
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Old Nov 15, 2008 | 05:43 PM
  #12  
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pretty sure they tech you this stuff in key stage 3 history
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Old Nov 15, 2008 | 05:50 PM
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As above
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Old Nov 15, 2008 | 06:02 PM
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Originally Posted by dom_xr3i
i thought the same but has it got something to do with inflation if they print more money?
Nice to see the PF I.Q. hasn't droped below 50

Are you really that thick?

The government/banks cant just print more money, if that was legal/possible we'd all be doing it you tool

You cant just invent more wealth buy printing it
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Old Nov 15, 2008 | 06:53 PM
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Originally Posted by Lee Ivatt

You cant just invent more wealth buy printing it
Nope even easier than that, just fling some numbers into the cycle electronically. Only 3% of the monetary cycle is physical cash. It's literally as easy as them ploughing some numbers into the economy but then wheres the drive for the masses, got bills to pay man! (this is retardedly simplified before I'm flamed)

Anyone who wants to know how BADLY they're taking the piss financially watch this....

http://video.google.com/videoplay?do...05277695921912
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Old Nov 15, 2008 | 07:17 PM
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Simple way to think about it is there are still the same amounts of goods and services that all our money is chasing. If we print more money, it sends the price of these goods and services up as more people want them, and there isn't enough to go round - ie inflation.
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Old Nov 15, 2008 | 10:13 PM
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Originally Posted by Rick
Simple way to think about it is there are still the same amounts of goods and services that all our money is chasing. If we print more money, it sends the price of these goods and services up as more people want them, and there isn't enough to go round - ie inflation.
you really dont get it do you
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Old Nov 15, 2008 | 10:18 PM
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Originally Posted by Ad4m RST
Nope even easier than that, just fling some numbers into the cycle electronically. Only 3% of the monetary cycle is physical cash. It's literally as easy as them ploughing some numbers into the economy but then wheres the drive for the masses, got bills to pay man! (this is retardedly simplified before I'm flamed)

Anyone who wants to know how BADLY they're taking the piss financially watch this....

http://video.google.com/videoplay?do...05277695921912
I fear your post may not register with some!

If the context dont confuse them at least the "BIG" words will
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Old Nov 15, 2008 | 10:21 PM
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Originally Posted by Lee Ivatt
you really dont get it do you

Get what? An understanding of basic economics?
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Old Nov 15, 2008 | 10:26 PM
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Originally Posted by Rick
Get what? An understanding of basic economics?
you cant just print more money
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Old Nov 15, 2008 | 10:32 PM
  #21  
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No, you can't. Do you know why you can't?
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Old Nov 15, 2008 | 10:43 PM
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Originally Posted by Rick
No, you can't. Do you know why you can't?
Yes its called fraud!
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Old Nov 15, 2008 | 10:44 PM
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Originally Posted by Lee Ivatt
you cant just print more money
Mate, instead of criticising everyone about what they are saying, why don't you try EXPLAINING rather than criticising. No need for that.
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Old Nov 15, 2008 | 10:55 PM
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Originally Posted by pani_k
Mate, instead of criticising everyone about what they are saying, why don't you try EXPLAINING rather than criticising. No need for that.
i just did, its called international fraud!

I dont know how u can possibly get a more simple explanation than that.

The bank/government printing more money is no different to you or I printing it in the shed at the bottom of the garden.

A countries wealth has to be earnt, you cant just print it out on paper notes! If that was the case there would be no world debt and no poor countries. infact if it was possible then "money" its self would have no value at all.
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Old Nov 16, 2008 | 09:04 AM
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pmsl,print more money?why?have we run out of bank notes?the problem is NOT a lack of money in the system as its the same physical amount of notes as there were before the problem (albeit with a few notes being made occasionally by the mint as per usual).its the VALUE of the money that is available that is the problem!
think of itin terms of an rs500.if ford just decided to make another 500000 of them after the initial 500 were made,do you think they would be worth the same in the market now?no....mass production of something tends to make something less rare,so less sought after,so less valuable.so printing more money would be a waste of time,if you print more,what do you want to do with it?pay people more?if thats the case then EVERYONE needs to be paid more!so the differential between rich and poor stays the same,the value of the pound plummets,bad times!
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Old Nov 16, 2008 | 11:21 AM
  #26  
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Lee Ivat, you are actually talking complete bollocks Please load up google, work out why, then come back before continuing the discussion

what Rick has said is CORRECT
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Old Nov 16, 2008 | 01:37 PM
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From: Little India
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i think you are mistaken jim, what lee has said makes more sense

if the government were to simply just print more money, it owul dneed to be put into circulation, thus meansing more peole would be earning more money from the government and inflation would go through the zimbabwe cealing
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