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/biz/ - Business & Finance

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17861694 No.17861694 [Reply] [Original]

Give me the quick rundown on this money printing shit

>> No.17861720

>>17861694
>print money
>buy assets
>things moon
>everyone is saved

>> No.17861773

>>17861694
google

>> No.17861792
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17861792

>>17861694
fend lend money to banks so they can lend it to trader and investors to pump the market
but the jews are actually shorting, this is the final jewish trick

>> No.17861800
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17861800

BRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRR

>> No.17861825

Money supply increases, rate of return on money falls, as more dollars bid for the same good, therefore prices increases and this is inflation

Not sure if I'm right though

>> No.17861847

The Fed creates money. They loan it to banks at an interest rate. The treasury prints money when physical deposits are needed. Banks loan out the money, creating more money based on a ratio to their reserves.

They're doing something very ill advised at the moment by blowing their wad early. They should be waiting for the big recession and trying to stabilize at that point.

>> No.17861852

>>17861694
>no TP
>print money
>have TP

>> No.17861894
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17861894

>>17861694
/biz/ is full of youtube economists and dropouts who lack the most fundamental understanding of economics. They think "money printing" is a meme because they don't understand the role of the fed and how unfreezing credit markets with liquidity helps the economy.

It's perfectly fine and smart to do it. Read a book. Stop posting here. This is where poor people hang out. Would you go to the check cashing store to discuss economics?

>> No.17861911

>>17861694
It's like the liquidity swaps they did in 2009, The Fed prints USD, the ECB prints Euros and they swap at an agreed exchange rate.
The Fed has to do this because almost the entire global financial system runs on USD, which de facto makes it the backstop. It means incredible power over the world for the US.

>> No.17861915

>>17861894
You're here

>> No.17861927

>>17861694
1. Central bank prints money and uses it to buy safe-haven assets from the market i.e. government bonds.
2. This drives the price of bonds up and makes them a less attractive investment
3. Pension funds and other investors have more cash
4. They spend it in equity markets and loans etc
5. Gives the economy a much needed jolt
6. ????
7. Profit

But this won't fix markets for a stopping of the economy due to a biological crisis and no one has a fucking clue what to do.

>> No.17861972

>>17861694
>print money
>give to banks
>banks lend out more money than they even have
>get loans paid back
>keep cloning magic spreadsheet money like this
boom you have modern economics

>> No.17861980

>>17861894
What books should I read to understand better?

>> No.17862016

>>17861894
Haha machine go brrrrrr

>> No.17862029

>>17861894
>dude just let a private bank loan your country all of "its" money it's fine don't ask questions. I went to college!

>> No.17862057

>>17861894
its just wealth distribution, its a decentralized way to bail out the big guys

>> No.17862081
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17862081

>>17861915
I have mental illness and I am poor but I happen to be smart. I am the exception that proves the rule.

Sorry but once again the simple minded anon embarrasses himself.

>> No.17862092

>>17861694
brrrrrrr

>> No.17862107

>>17861894
trickle down bullshit

>> No.17862118

>>17861720
basically this

>> No.17862123

>>17861894
>thinking it's a complicated thing
t. finance major

also; BRRRRRRRRRRRRRRRRRRRRRRRRRRRRR

>> No.17862138

what if i told you we can all be rich?

>> No.17862265

>>17861694
More dollars chasing fixed supply of goods.
Dollars worth less.
ie Tendies will cost $40/plate

>> No.17862291
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17862291

>>17862081
>I happen to be smart. I am the exception that proves the rule.
>Sorry but once again the simple minded anon embarrasses himself.

>> No.17862350
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17862350

IT WORKED FOR ZIMBABWE IT'LL WORK FOR US

>> No.17862444

>>17861720
>>print money
>>buy assets
>>things moon
>>everyone is saved

so they think

>stocks price go up
>milk price goes up
>dollar purchasing power goes down
>people get paid in worthless dollarinos
>people hoard cash and spending stops
>employers lay off employees cause sales are down
>people baghold worthless money and lose their jobs
>silver/gold chads buy all the land
>people forced to farm the land and get paid a
tiny portion of the vegetables while the silver/gold chads get the rest.
>when the people work the fields hard and save their vegetables for 50 years, they might be able to retire one day

>> No.17862487

>>17861927
I still don't get it, why a financial response to a disease and a lack of public health response, even at this stage?

>> No.17863228

>>17862487
The markets taking a bit of a dive is to the uncertainty around Covid-19.
The central banks reserve is to try and bring stability back as it's easy to get stuck in a vicious cycle where people keep selling. The aim is to restore confidence in the market. It all seems odd and artifical but it's worked before but this is a different beast.

>> No.17863305
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17863305

>>17861694
Fed is trying to save the stock market by printing more fake and worthless money.

>> No.17863713

>>17862444
>people hoard cash and spending stops
If their cash is worthless, why would this happen?

>> No.17863869

>>17861894
pretty retarded, short sighted, missing the big picture and ignoring long term consequences

>> No.17863891
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17863891

>>17861694

>> No.17863894

>>17861694
brrrrr

>> No.17863904

>>17861894
based and macropilled

>> No.17863940

>>17861894
SEEEEEETHING stocks cuck

>> No.17863948

>>17862081
>I'm poor and mentally ill
Why should anyone listen to what you have to say?

>> No.17863957

>>17861694
brrrrrrrrrrrrr

>> No.17864009

>>17861694
brrrrrrrrrrrrrrrrrrr

>> No.17864011

>>17862029
how is the fed not nationalized yet? seems preposterous

>> No.17864041

>>17863948
you don't have to. I told you to read a book didn't I?

>> No.17864118

>>17862444
Why would they care about.people retiring? They lower the value of the dollar by moving the money to the rich by printing money.

>> No.17864127 [DELETED] 
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17864127

>>17861980
hahaha

this poster is just low iq has zero understanding of the true fundamentals of economy and has absolutely no arguments, so all he can say is "read a book!", "educate yourself!"


no book can give you a rational explanation for how printing "money" out of thin air can work forever

the fed has never been this careless since dropping the gold standard, they just started to hxc abuse the fact that they can flood the market with any amount of usd any time they want.

bitcoin was created exactly for this reason.

>> No.17864230
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17864230

>>17861980
hahaha

this poster is just low iq has zero understanding of the true fundamentals of economy and has absolutely no arguments, so all he can say is "read a book!", "educate yourself!"


no book can give you a rational explanation for how printing "money" out of thin air can work forever

the fed has never been this careless since dropping the gold standard, they just started to hxc abuse the fact that they can flood the market with any amount of usd any time they want.

bitcoin was created exactly for this reason.

>> No.17864253

>>17861980
here you go, fren
https://cdn.mises.org/What%20You%20Should%20Know%20About%20Inflation_3.pdf

>> No.17864292

Printing money increases inflation and makes the cash you have less valuable. If you own a house it will make it worth more usually though

>> No.17864341
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17864341

>>17861800
We need a whole team

>> No.17864348

>>17861894
>Those who don't know history are doomed to repeat it
Ironically those who think this anon posted good advice don't remember this quote

>> No.17864608

>>17864341
based

>> No.17865605

>>17863713
You don’t understand. People will have to hoard cash BECAUSE it’s worthless. It’s like how Germans had to take a wheelbarrow of cash to buy a loaf of bread during their hyperinflation, which was a similar scenario; an outlier event and the printing of money.
>>17864118
Retirement is a choice of the employee, not something granted by the employer

>> No.17865641

>>17865605
>>17864118
Misread the post. Yeh

>> No.17865725

>>17864041
You should read a book, maybe a smart one. Or perhaps one to make you less mentally ill and poor