Wednesday, November 25, 2009

Free Johnny The Homicidal Maniac

Increasing demand by issuing new money.

rise in demand will therefore correspond to an increase of supply, which should not lead to inflationary price increases. Emissions tax money used to finance the public debt under-utilization of production capacity does not have to lead to overt inflation. The threat, however, it may arise as to how the economy will be the terminator approaching full capacity utilization and full employment. Increasing demand by issuing new money could then lead to the occurrence of inflation, since the capacity utilization quickly increase in production, and it is necessary ranges, it may be impossible. The economy then there are the so-called. "Bottlenecks". Such a "bottleneck" may be, for example the production of raw materials, development of energy base, etc.

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