Printing Money

Governments can print money out of thin air. When you hear that stimulus checks are going to be handed out, that’s just secret handshake talk for “printing money.”

Printing more money should make people spend more. But what if it doesn’t? When people are fearful like they are right now, they typically want to save their money.

Printing money is pointless if it doesn’t get spent. And if a government prints too much money then they create hyper-inflation like what happened in Venezuela when their currency inflated 1,700,000% in 2018.

When you hear inflation, that translates to demand for products and services. When you hear deflation, that translates to less demand for products and services.

When there is more demand for products and services, prices go up and so does inflation. When there is less demand for products an...