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Like where do pound notes get made? Can't the government just make more notes instead of cutbacks?
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It gets made at the mint. And if you make more notes, it means there's more money for people to have, so you get inflation - where, because everyone has more money, prices go up to match it otherwise the people making the products would be left out of pocket. Also people with savings don't like it for obvious reasons as their money that they've put aside suddenly isn't worth as much anymore.

 

Of course, you have had money printing to an extent so far - it's called quantitative easing, which has been done to make up for us not having much money in the system (when institutions like Lehman Brothers went down, there was a lot of virtual money which hadn't been monetised - put into physical form - which suddenly disappeared from the system), but it needs to be done carefully so you don't get a lot of inflation.

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Thanks Tirren. It was a question Ive had on my mind for a while!
Like where do pound notes get made? Can't the government just make more notes instead of cutbacks?

 

The people at Waddingtons got taken over a few years back by an American firm Shelli - so we need permission from our American Cousins before we can make any more.

 

 

Kath

 

The people at Waddingtons got taken over a few years back by an American firm Shelli - so we need permission from our American Cousins before we can make any more.

Kath

 

:lol: :lol: :lol: :lol:

 

I'd like to add what Tyron said: before the Great Depression, Germany printed so much money that their economy went into a hyper-inflation. And from what I read in history books, that was worse than having no money. Anyway, that's how I remember why governments won't print too much money :)
I'd like to add what Tyron said: before the Great Depression, Germany printed so much money that their economy went into a hyper-inflation. And from what I read in history books, that was worse than having no money. Anyway, that's how I remember why governments won't print too much money :)

 

Printing too much money ends up being a very bad idea in the end... We used to have The Gold Standard (basically, defined as thus - http://en.wikipedia.org/wiki/The_gold_stan...ng_definitions), then someone decided to dump that idea and base things on Fiat Currency http://en.wikipedia.org/wiki/Fiat_currency

 

There are advantages and disadvantages to both, but because of the world banking crisis there has been a lot of advocacy to return to gold and silver.....

A return to the gold standard would be disastrous I think. It basically puts paid to deficit spending, which really is a must during recessions...
A return to the gold standard would be disastrous I think. It basically puts paid to deficit spending, which really is a must during recessions...

 

Oh, yeah, it would be difficult to do it just now certainly what with the sheer lunacy of having the $31 trillion debt (that being the $15 trillion official one that the Fed admitted to plus the $16 trillion paid in loans that they tried to sneak under the radar....), but when you hear the likes of Ben Bernanke getting up and saying basically that "gold isn't money", you know that the lunatics have got the keys to the asylum..... Or rather in this case, thanks to Bush and Obama, the klepto-crats have the keys to the US Treasury.......

 

I'd like to add what Tyron said: before the Great Depression, Germany printed so much money that their economy went into a hyper-inflation. And from what I read in history books, that was worse than having no money. Anyway, that's how I remember why governments won't print too much money :)

East Germany was extremely bad post WWII. From what my parents told me an East German Mark was worthless. I think the one or two we have somewhere in our house would be worth a fair bit now though.

 

 

On a sidebar, I ADORE your sig.

East Germany was extremely bad post WWII. From what my parents told me an East German Mark was worthless. I think the one or two we have somewhere in our house would be worth a fair bit now though.

 

They probably would be to a collector....

The people at Waddingtons got taken over a few years back by an American firm Shelli - so we need permission from our American Cousins before we can make any more.

Kath

 

Omfg Kath. <3

Omfg Kath. <3

 

I'm going to ask something even sillier than Shelli asks. What does <3 mean? I see it all the time and haven't got the foggiest!

 

If its an insult ... don't answer!

 

Kath

I'm going to ask something even sillier than Shelli asks. What does <3 mean? I see it all the time and haven't got the foggiest!

 

If its an insult ... don't answer!

 

Kath

 

It's supposed to be a heart! <3 But then it could be a penis or a double scoop ice cream cone...

I have always thought that <3 looks more like a penis than a heart tbh :lol:
I know <3 is supposed to be a heart.....but I always imagine it like a pair of lips trying to give you a smooch. :lol:
I know <3 is supposed to be a heart.....but I always imagine it like a pair of lips trying to give you a smooch. :lol:

 

It looks a bit like an arse lying on its side with a wizards hat on!

 

Kath

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