Could a government just print its way out of a trade deficit?
If a country owes money overseas, could it not just print money to pay for its debt? As this money would be going out of the actual country, then inflation wouldn’t be a problem, right?
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ANSWERS: 9
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Paper is just paper, except when in comes to money. There must be gold reserves to back the paper money.
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Thinker There is nothing, no gold or no silver, backing the currency used in the USA and as far as that goes any currency used in any country in the world. The currency used in the USA does not belong to the USA. The Rothschild family owns all but 3 currencies in the world. In the USA The Federal Reserve is not federal and has no reserves. It is a private corporation in violation to the US Constitution.
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I think you might perceive that global debt is paid off in actual physical cash, its not as if we would ship over millions of printed american dollars to China to take a bite out of our debt. Even if that were the case, because of the global economy, nothing is isolated, whether or not the printed money is circulated domestically or not is irrelevant. Again, printed money doesn't really mean anything, it means what we believe it means. Because we believe a dollar is worth X amount, it is, and now it doesn't even represent an amount of gold like it used to. The reason why we are in the mess we are is not because money just disappeared, its because the perceived covalue of different things has decreased because of a variety of complex interconnected economic events.
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Let me ask you this: if you owed 100K in debt to a credit card company or companies, could you write yourself out of it by giving them bouncing checks? Now, answer that question and apply the same logic to your question and you'll then realize what you have just asked
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Yeah you just have to think as money as an IOU for gold. If there isnt the gold to back up the money the money is worthless.
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Then, what is to stop all other countries from doing the same thing? Then the trade deficit still exists. In Economics terms, increasing the money supply (as opposed to increased prices, which is how ordinary people, consumers define it) is the cause of inflation.
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Weimar Germany 1921-24. Things didn't go too well after that.
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they should be able to, not sure why they dont
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That would lead to hyper-inflation and the collapse of the economy. In short, no, we cannot just print more money.
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I can see by the comments made those who wrote them know little or nothing about fractional reserve banking. Know nothing of the Federal Reserve Corporation in the USA. Know nothing of the Rothschilds and the fact that starting in 1743, began amassing vast fortunes. They have progressed over time to the point where they now own all but 3 currencies used in any country in the entire world. They stated, "Give us control of any currency and we care not who writes the laws in that country." Should you like more information on this go to Youtube Rothschilds. You will have much information. https://www.youtube.com/watch?v=szPhMaK88M8&t=5502s
mushroom 
pearllederman 
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