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If it starts to crash where would anyone reel in the supply of fiat _from_ in order to tighten the supply? The stimulus is the only thing keeping people afloat
by cheaprentalyeti 6y ago
If it starts to crash where would anyone reel in the supply of fiat _from_ in order to tighten the supply? The stimulus is the only thing keeping people afloat right now.
- birdsbirdsbirds 6y agoHow about taxes and increased interest rates?
- Sargos 6y agoThat would actually lower economic activity overall which would cause even more pain than people are in right now. Also with the worsened economic conditions the overall tax income even at the higher rates would fall leading for either the need for more stimulus/dollar creation or even worse pain. It's not going to be quick or easy even getting back to a balanced state, much less actually getting to the point where the money supply can shrink.