Yeah, but, yeah, but

And because that new money simply replaces that which would normally be created by commercial bank lending which isn’t happening right now there is no chance it will deliver inflation. Instead it just keeps is going. Thank goodness for gov’t and its ability to create new money in that case, I say End/

OK, cool.

Twelfth, in that case without the injection of new government-created money that is happening right now into the economy it would literally grind to a halt. Would anyone prefer that to this new money creation which will be used to clear a large part of this so-called debt? 13/

And when the economy stops being ground to a halt and the banks start lending again which creates that new money again then what happens to inflation?

Tenth, anyone who claims we cannot repay ignores the fact that the government can buy back its own debt any time it likes: it has had the Bank of England create £575bn of new money via QE to do this over the last decade and none of that has to be repaid because the gov’t owns the BoE 11/

Well, actually, that’s when the BoE has to sell those QE bonds back into the market in order to remove that QE created money from the economy. The only alternative to that being to increase tax rates to do the same. Which is, of course, indistinguishable from increasing taxes to pay off the government debt.

10 thoughts on “Yeah, but, yeah, but”

  1. Dennis, Prepped For A Night Of Ballroom Dancing (They Don't Call Me Featherfoot For Nothing, You Know)

    Sadly, lists appear to have permanently replaced Venn diagrams. So now visual interest mirrors intellectual interest.

  2. The Meissen Bison

    Twelfth? TWELFTH!

    Is that a personal best? The Tuber Law of Numerology posits that the higher the number, the more deranged the argument.

  3. There used to be a rather wonderful program* that used to post comments on The Register website under the moniker amanfromMars – has it replaced the Spud? And, if so, how could we tell??

    * or it may have been a clever user impersonating an AI – either way it was fairly droll

  4. @Chris.

    No… AManFromMars ( and its current successor AManFromMars1) was/is actually amusing, and the comments made some sense, in a tin-foil hatter way. And it was a bit of a sport to find the trigger words… 😉

    Spud? Not so much. And finding his triggers is like shooting fish in a barrel.. no entertainment value whatshowever.

  5. Does he explain why we need the money if no one is spending anything? It’s not as if the economy is expanding

  6. Does he explain why we need more money? It’s not as if the economy is expanding and there are fewer things to spend money on?

  7. Our useless, floundering Gov’t and ‘impartial’ taxpayer funded Communist Broadcasting Corporation

    Why does the UK have a 2 metre social distance rule when the WHO recommends 1 metre?
    SAGE Woman waffles – summary: No Evidence, Precautionary principle, I’m female, I’m scared

    Please God No. We don’t need more women in Government, we need more BSc and many fewer BA
    Only two in Cabinet with BSc (one male, one female) – Applied Physics & Electronics and Chemistry, Chem woman shouted down for questioning SAGE ‘advice’

    Rees-Mogg derides BBC: They dredge Communists up, they should be impartial
    Yes, every NHS on Panorama was Labour

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