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IPFS News Link • Economy - Economics USA

Can We Print Infinite Money to Pause the Economy During the Coronavirus Pandemic?

• https://www.vice.com, By Matthew Gault

More than 16 million Americans have filed for unemployment benefits in the past four weeks. Economists estimate that the jobless rate in the U.S. is around 13 percent, the worst it's been since the Great Depression. To stave off economic collapse, the Federal Reserve has turned on the money printing machineIt's going brrrr.

With all these people out of work, businesses closed, and economic activity stagnating, some experts have suggested we can put the economy on "pause" by, essentially, printing infinite money, and giving it to businesses and people to keep things more or less the way they were before the coronavirus pandemic hit.

Checks are on the way to Americans, but that's cold comfort for people with bills to pay now and who have no idea when, if ever, they'll get back to work. To get through the crisis, can the Fed just print unlimited money? What are the consequences of just giving everyone enough cash to survive the next few months?

According to David Weil, a Professor of Economics at Brown University and the Director of the James M. and Cathleen D. Stone Wealth and Income Inequality Project, it's complicated.


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