3 ms·
There won't be inflation in that circumstance. The whole point would be to counter deflation with just enough money to bring about normal productivity before th
by pishpash 8y ago
There won't be inflation in that circumstance. The whole point would be to counter deflation with just enough money to bring about normal productivity before things really go south and nobody works at all.
In the long run, the injection would need to be unwound when things are back to normal though, or else there might be inflationary phenomena in one form or the other.
It's a tricky maneuver to execute because you're doing it on the broad economy, not specific sections.