4 ms·
Imagine we have a company with 100 shares total. I have 1 share. Now you print 100 more shares and keep them. Sure, company is still the same but the wealth is
by kachurovskiy 7y ago
Imagine we have a company with 100 shares total. I have 1 share. Now you print 100 more shares and keep them. Sure, company is still the same but the wealth is redistributed, I have 2 times less of it.
Same with US dollars. Half of them might be held by non-US persons. Another quarter by US population. Printing dollars is a wealth redistribution excersice and a very effective one.