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Why can't banks just create money at will so that all people will have what they need?
Wiki User
∙ 14y ago
If banks produce more money to suit everyone's needs, something called inflation occurs. Inflation will cause the purchasing power of money to decrease, that is, a loss of value of money. The money will be worth less to account for the extra money.
Wiki User
∙ 14y ago
Wiki User
∙ 13y agoIf they did that then a process called inflation would begin. Everyone would get paid more for their jobs, but they would also have to pay more for everything else. Therefore, the value of the dollar would decrese, and it wouldn't solve anything.
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What is quantatative easing?
Type your answer here... THE FED CANT REDUCE THE INTEREST RATES THAT IT CHARGES BACKS ANY MORE. THE ONLY ALTERNATIVE IS TO SIMPLY MAKE MORE MONEY AVAILABLE EL SO THE BANKS CAN MAKE THE LOANS
Where do people hide money?
THIS MAY SOUND SILLY, BUT I PUT IT IN A SOCK... AND PUT IT IN A HEAT VENT IN THE FLOOR. GOT THIS IDEA FROM MY FATHER IN LAW YEARS AGO.
Does a person always need money to obtain goods or services?
I think it a person does need money to obtain goods and services bcause you cant get anywhere without money
Why cant a country just print more money when it is in a reseasion?
Because money is like diamonds. If there were more diamonds in the world they would be cheaper no doubt, because they would be less rare. In addition, competing companies would battle to sell at the lowest price. Money is the same, the more you print the less value it has. Why do you think the United Kingdom pound sterling has strong value? Because the British are smart and know when to stop printing and when to start to balance out with the needs of banks and business.
Why can't you just print more money to help boost the economy?
We cant just print more money because we have to mach the money in gold. So if we make more money thin it would be less for later things. (such as wars and disaster response.)
Can you kill someone in bully PC game and can you rob banks shops and mug people like take money and things?
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you cant you can only by people from in the store no you can only buy people from in the store
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Banks do not close for more than three days in a row because people have banking that they need to get done. It is hard enough when banks are closed for three days.
Money saving ideas for 11 year old girls?
try getting one of those glass PIGGY banks so you cant get into them! or get a bank account.
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Types of problems do people in these countries have to face?
they cant earn enough money
