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I'm no economist, but shouldn't it work nicely to just print money and pay it out equally to all citizens? Why hasn't anyone tried this yet?
by marvin 7y ago
I'm no economist, but shouldn't it work nicely to just print money and pay it out equally to all citizens? Why hasn't anyone tried this yet?
- H8crilA 7y agoThis is called "QE for people", or "helicopter money", and economists know about this idea. It's still deep in the fringes, but in my opinion we can see this happen within our lives. https://en.m.wikipedia.org/wiki/Helicopter_money https://en.m.wikipedia.org/wiki/Helicopter_money
- caf 7y agoThe Australian Government's response to the GFC 10 years ago included a $900 payment to most taxpayers.
- thoughtstheseus 7y agoA lot of ideas remain on the fringes for laymen until they are used. Quantitative easing like in 07/08 was discussed during the Great Depression.
- wcoenen 7y agoRay Dalio calls that "monetary policy 3". (MP1 is lowering interest rates, MP2 is buying financial assets.) In this article he gives some examples of forms of MP3 in the past: https://www.linkedin.com/pulse/its-time-look-more-carefully-monetary-policy-3-mp3-modern-ray-dalio/ https://www.linkedin.com/pulse/its-time-look-more-carefully-...
- vmurthy 7y agoLike /u/photojosh mentioned above, it's no good to print money and equally hand over to citizens if most of the citizens don't buy anything :-). Photojosh's comment breaks down how the citizens might be doing it.