In order for the united states government to print more paper money, there has to be gold reserves to back the paper money. its not as easy to resolve, as you might think.

They could start with eliminating the penny and nickel to save a few million... http://www.usatoday.com/money/2006-05-09-penny-usat_x.htm The Federal Reserve, which distributes money to banks, pays face value for coins. If a coin costs less to manufacture than the face value, the Mint makes a profit. Last year, the Mint's coin-making profit was $730 million. Mint officials estimate the added penny and nickel expenses will reduce the Mint's profit this year by $45 million.

Money doesn't work like that. Money is essentially a promise to deliver something of value later. Once upon a time that thing was gold. It isn't any more - it is just the belief that people will give you goods and services in exchange for dollars. But if you just print more money, you are making more promises than you can fulfil. The people you give the money to (to pay back the debts) will start spending it, and buying stuff other people want. And becasue they have so much of this new money, they will pay over the ofdds, and prices will rise. Which means, effectively, that the dollar becomes worth less: the effect is called inflation. Dumb politicians have tried this many times in the past, and each time it brings inflation. It actually takes about two years for the new money to work through into inflation, so nasty politicians can win an election by printing a lot of money just before the election, knowing that the effects will not come through till after. Inflation is really a tax on the poor. The rich can move their money into inflation-proof investments - land, stocks etc. But people on fixed incomes - pensions etc. - are the ones who get clobbered And the people on "basic" wages; these always rise *behind* inflation, som these people suffer as well.

"Producing more money" is called "counterfeiting", whether it's done by a criminal or by the government. It's been tried various times. The result is inflation, collapse of the country, and usually collapse of the government--sometimes followed by foreign invasion. Besides which, if the tooth fairy came and paid off the national debt tonight, by tomorrow night the Congress would have borrowed another trillion dollars to buy votes with. Politicians are like diapers. They need to be changed regularly, and for the same reason.

Nice thought; but it does not work that way. Say I take a large sheet of paper. It costs about 20 cents. Say I procure the engraved plates, and proper inks to print fifty dollar bills on the sheet of paper. What's it worth now? 20 cents. (unless its legal and backed by the gold standard.)Printing more money has never reduced a nations debt. Staying within your budget keeps your great, great grand children from paying your debts.

Its good to think but result will be weird suppose everyone gets bags of money freely all will rush to satisfy their needs all will try to gain luxury like bungalow,cars etc but think you will not be the single person like that there will be many which ultimately will result the company to produce more products to demand needs they will also have to buy material from other nations,need to keep more labour to work and also have to lend them more money i.e finally increase in the cost ,the price of products will even rise more which will also be impossible for others who also got bags of money freely ,land scarcity will rise who wants to build bungalow...hence vice a versa result will be same but infact to buy even a small toothpaste at such situation we will need to carry 2 to 3 bags of money which will attract the robbers also printing money more than demand is not the solution its the promise that the nation make to his citizen..to pay the bearer the sum of that rupees

I think that lowers the value of money.

Do you think we have a shortage of paper? Think. It has to be backed by gold. We are sorely lacking in what makes the money valid.

When the U.S. prints and puts into circulation more dollars inflation is encouraged as well as devaluing of the dollar. Some say it does not encourage inflation but that the dollar is devalued. It's pretty much the same thing to me. It costs more to buy the same item.