3 ms·
It's not profitability for profitability's sake. It's a positive number on a budget balance sheet. At the end of the day, they have some kind of budget to spend
by 6gvONxR4sf7o 6y ago
It's not profitability for profitability's sake. It's a positive number on a budget balance sheet. At the end of the day, they have some kind of budget to spend on stuff. The sum of the expenses has to fit the budget. If this comes out as a net positive, they can spend more elsewhere, like on unemployment benefits or schools or whatever else they're planning to need money for in the future.
- Armisael16 6y ago> The sum of the expenses has to fit the budget. Is this actually the case? They have a money printer. What’s the problem with using it, as long as inflation stays low? I mean, I suppose technically seigniorage is part of the budget but then your statement is just a statement of definitions, not an insight.