How to Print Money without Causing Inflation

While the risk of economic catastrophe in the form of inflation, stagflation, hyperinflation or asset price bubbles is real, money printing can be done responsibly.

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Narrated and produced by Dr. Joeri Schasfoort (University of Cape Town)
Twitter: joerischasfoort
LinkedIn: joeri-schasfoort

Extended description:

This video explores when money printing can be a viable economic strategy and when it will bring economic disaster. Money printing can help grow the economy, given that it is used to invest in productive capacity. Besides that, it can also be used to revive an economy that suffers a recession as a consequence of falling demand. However, if supply cannot keep up with the demand generated by printing, inflation of the consumer price index or of asset prices (in the form of demand pull inflation) is guaranteed.

Note that money printing is not the same as monetary finance or quantitative easing. It is also not something that modern central banks typically engage in under the monetary policy framework.

• #education
• #economics
• #central_banking
• #finance