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Norway issue their own currency, so 100% of their budget comes from money they spend into existence. Oil has an impact on their ability to import, and on their
by dools 3y ago
Norway issue their own currency, so 100% of their budget comes from money they spend into existence.
Oil has an impact on their ability to import, and on their ability to meet their own energy requirements.
- abfan1127 3y agothat's not exactly correct given the inflationary nature of printing to "spend into existence." History is filled with crumbled societies printing their own money as mention.
- dools 3y agoAll spending creates new money and all taxation destroys it (at the federal level). Where else does money come from if not the government?
- abfan1127 3y agothat's a big question, however at a first order, its arguable that no "new" money is necessary. Wealth (not money) is created out of human effort, i.e. labor.
- tordrt 3y agoWhat do you mean by spend into existence? If they collect much more money in taxes and investments than they spend (which they ary), are they then really spending anything into existence?
- dools 3y agoDo you know of any entity other than the Norwegian government who issues NKR?