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Printing More Money During the Inflation
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[QUOTE="Jasmine, post: 273533, member: 49159"] One of the common strategies used by the governments around the world to curb inflation is to print more money. When there is inflation, the value of money decreases, the amount of money that could buy certain things will not be able to buy the same thing, you need more money to buy the same thing. Therefore, there will be scarcity of money in the market. That’s why governments start printing more money. However, this strategy has a domino effect. When more money is printed, there will be more money in the market but the price of commodity will not decrease (because there is inflation), the value of money will even decrease further. Thus printing more money does not sold problem of inflation. In order to curb inflation, governments should stop printing more money. By doing this the value of money does not go further down. It will be difficult in the beginning, but slowly the inflation will be under control. [/QUOTE]
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Printing More Money During the Inflation
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