Bank of England to print more money.

Wings of Fire · #1 03-11-2009, 04:00 AM

http://news.bbc.co.uk/1/hi/business/7936319.stm

I'm not too good with economist language but it seems to me like they have a pretty valid argument for doing so, regardless I can't see anything other than WIEMAR REPUBLIC flashing before my eyes.

I hope to God our government and bankers know what they're doing here...

***Nate*** · #2 03-11-2009, 04:50 AM

Seems to me that the phrase 'newly created' is highly misleading. Other than that, I don't understand anything at all about this.

Oddsville · #3 03-11-2009, 07:42 AM

:

I hope to God our government and bankers know what they're doing here...

I would hope so but don't get your hopes up. Just look at our bankers. Our CEO's are out spending our bailout money on parties and friggen worthless crap that they try to say is 'ok'. I think just about everyone in power is extreemly ignorant to some degree and with the exception of a very few.

Munch's Master · #4 03-11-2009, 08:11 AM

I'm also worried that we're about to relive Weimar Germany all over again. I understand why it's being done but its basically preventing 1 crisis by creating another, potentially more severe one.

Bullet Magnet · #5 03-11-2009, 09:42 AM

This has been tried so many times before.

I'd better buy a wheelbarrow while I can afford one.

Pilot · #6 03-16-2009, 10:17 AM

Welcome to the United States, where we've been printing extra money for years.

***Nate*** · #7 03-16-2009, 03:34 PM

I asked various people about this. The general theory is that they're using their cash resources to buy back bonds. So the bank will become asset rich/cash poor(er) and there will be more cash out in the world to be used. But that's not the same as creating money out of nowhere; it's just shifting around what is already there.

Bullet Magnet · #8 03-16-2009, 04:49 PM

The shops have all sold out of wheelbarrows. But my flatmates have stolen a shopping trolley.

Izuki_Ghost · #9 03-16-2009, 08:36 PM

:

The shops have all sold out of wheelbarrows. But my flatmates have stolen a shopping trolley.

Won't the money fall out of the holes in the bottom?

moxco · #10 03-16-2009, 09:26 PM

I've never really got how they know how much money to print but this can't be a good idea.

Bullet Magnet · #11 03-16-2009, 09:27 PM

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Won't the money fall out of the holes in the bottom?

In the brave, new world, coins won't be worth the food energy you need just to carry them. No, we're talking wads of paper money for mundane transactions.

mitsur · #12 03-17-2009, 04:57 PM

Dosen't printing more money only work for a couple of years before the inflation catches up with the amount of cash? It's like [clever comparison here].

I couldn't think of one to fit, sue me.

PRINT MORE MONEY & SAVE THE ECONOMY

***Nate*** · #13 03-17-2009, 05:01 PM

Only if they're actually printing more money and not actually doing something far too intelligent for that reporter to understand.

Though I should point out that the reporter never actually mentions that new money will be printed. Hmmmm... interpretation.

***Alcar*** · #14 03-17-2009, 05:17 PM

My interpretation was that "printing more money" was a euphemism for vigorous fiscal policies.

Every time I hear "print more money" I can't help but think of Pauline Hanson.

Alcar...

Bullet Magnet · #15 03-17-2009, 06:47 PM

Such as faxing photos of Woody's Round-Up dolls.

***Nate*** · #16 03-17-2009, 06:59 PM

:

Every time I hear "print more money" I can't help but think of Pauline Hanson.

Yeah, me too. Though to be fair, I don't think it was actually her that suggested that.