[QUOTE="ROFLCOPTER603"]
[QUOTE="cgi15"]
So hypothetically, what happens if i break into the Federal Reserve, print money off secretly for myself, and then use that money. Assume that I turned off the counter mechanism so that no one knows I printed off the money. When I spend this money at a store, the store doesn't know that money has been printed off, so they don't inflate prices. How have I affected the economy?
cgi15
If one person did it, it wouldn't matter. But say everyone in your town does it. Now the local businesses raise their prices because people have more money. The only way TC's idea would work is if a very small amount of people did it, but that wouldn't solve any problems.
What if instead of spending it on local businesses, we purchased from outside the U.S.? What happens then?
Are you referring to your town? because if the whole country did that (which would be impossible, butwe will let it slide) the other countries would naturally raise their prices, because their customers are willing to pay more. Your whole town could get away with it, but then the local businesses would fail and you would have a bigger problem.
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