Friday 26 September 2014

Issuance of money versus Asset management issues and the creation of value

If I have the power to issue money, and I issue (say) €200K, and use those issued funds to build a house worth €200K, then I have created 200K worth of assets for the benefit of society , out of NOTHING -i.e. The money was just issued (from NOTHING). So how can the issuance of money cause inflation, which is traditional economic thinking?, as long as (of course) the money is issued to create value to society!!

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