>One of Hayek's big points which I count against Keynes is that we still don't fully understand market mechanics. That, along with the notion that market mecha

>One of Hayek's big points which I count against Keynes is that we still don't fully understand market mechanics. That, along with the notion that market mechanics were not necessarily rational, was one of Keynes' main points. He termed it "animal spirits". >I struggle to see how there won't be (and already haven't been) ramifications from printing money Nobody said that there wouldn't be ramifications. >Printing more IOUs definitely devalues the existing IOUs No, not necessarily. If an economy is operating way under capacity it will increase production, dampening inflation: you get the same number of widgets for your IOU it's just there are more widgets built. If an economy is operating at capacity (as Zimbabwe's was), all it will do is devalue existing IOUs.