If The Fed prints 9 trillion dollars tomorrow, the dollar I earned today will then be "worth" about a dime?

Question

If The Fed prints 9 trillion dollars tomorrow, the dollar I earned today will then be "worth" about a dime?

Answer 1

that's called inflation. It happened in Germany in the 1920's and 1930's which is why they voted Hitler in. There are old

newsreels of people pushing wheelbarrows full of paper money to go the store to buy a loaf of bread. The government

then started printing paper money that it was like ten million marks (ie dollar) notes so people wouldn't have to carry so much paper money.

Answer 2

It'll be worth 50 cents.

Answer 3

I guess so thats why it was bad to abandon the gold standard which states that all the money printed must be backed by gold.

Answer 4

Considering that's about 11 times the current paper circulation of 800 billion that sounds about right.  Most money creation happens digitally so they would never do that.  Do you even have any idea how much physical space that quantity of bills would take up?  It would be 100000 armored cars carrying 10 million each just to transport 1 trillion.  Also, that's assuming they could actually get any banks to borrow that kind of cash from them.  I can't foresee any reason American's would want to multiply the amount of currency we use by 11 fold.  I keep my pay checks in my bank account not under my mattress.

Answer 5

Less then that for now it is worth 2 cents .

Answer 6

Im not sure if it will be worth such a small amount.  But yes, I wouldn't be surprised if it would be worth that much.  As I'm sure you know, the more that gets printed, the less money is worth.  That's the problem with more money being printed and interest rates being low.  Inflation is rising...too much is printed and the dollar becomes pretty worthless. (Well okay its not pretty worthless now but if it printed trillions of dollars more it would be).  Let's just hope they don't go do that, and if they do, not anytime soon....

Answer 7

FYI, the Fed does not print money. A department of the treasury does.