this post was submitted on 20 Feb 2025
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[–] Obelix@feddit.org 11 points 1 year ago (6 children)

They are getting downvoted, because they are obviously wrong. Of course the government is "creating" the money. But it can't just print money and spend it. Countless governments tried it and it always led to hyperinflation - and therefore the budget of course has to come from taxes

[–] novibe@lemmy.ml 4 points 1 year ago (5 children)

How is it wrong if it’s factually what happens now? People have a “common sense” understanding of how the government works, and THAT is wrong.

Ever since fiat became the norm, all governments all over the world that print their own money and have debts denominated in their own currency simply print money to spend, for their budget. That is a FACT.

Only countries that have the majority of their debt denominated in another currency (the dollar mainly) that face inflation when printing money.

The US and Europe printed trillions during covid, and that barely caused a blip in inflation. Inflation only came after supply chains shock and the war.

Like do some basic research, if I’m so obviously wrong it will be very easy to see..:

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