If money can be printed why do our government borrows money from other country?

[Jewan420]

Uncontrolled money printing will reduce the purchasing power of money and the price of goods will skyrocket due to inflation. In other words, nothing will change as a result of printing money, but we will only have a pile of paper bags. When your country's production increases and you earn foreign currency through exports to meet the domestic demand of the country, then the value of your country's currency will increase against the dollar. Since we use the dollar as the standard of currency, we should have more reserves of dollars against our domestic currency. Only then will we be able to increase the value of our currency according to the law of demand and supply. However, to reduce inflation, we have to be productive, uncontrolled money printing does not eliminate economic problems, but rather creates economic problems.

[viljy]

I am still shocked to know that even when money can be printed as much as possible, countries, nations goes after each others to borrow money but yet they can on their own print money instead of having to go borrow and leaving the nation indebted other nations. Just as for instance our country do borrows money from China.

Is that right or they are trying to maintain economic value?
What do you think?

A country can't just print money. First, you need to have dollar reserves (buy and hold dollars or treasuries) and print your currency against this security (note that freezing dollars in reserve supports their value). All central banks in the modern dollar currency system must follow these "rules." Or you can borrow money from China, because the yuan is also part of the IMF's basket of currencies. This system supports the dollar by essentially exporting dollar inflation to other countries whose currency is depreciating.

[CONVOAI]

Money cannot be printed at will. One major reason for this is that printing more money increases inflation and then the value of the money decreases. Therefore, many countries borrow to keep the economy under control and maintain international confidence. Countries do not borrow just for money but also to build strategic relationships. Through which trade benefits increase.

[KiaKia]

Just because a country have access to their printing machine doesn't mean they should turn it on and start printing money, this brings inflation and inflation brings instability.

Many humans believe that debt is a bad thing, they obviously lack knowledge about debt.

Debt is also a tool, when used right it brings stability and less inflation in a country, that's why many countries prefer to borrow money rather than printing money. Debt isn't not bad like you think.

[Ever-young]

Money cannot be printed at will. One major reason for this is that printing more money increases inflation and then the value of the money decreases. Therefore, many countries borrow to keep the economy under control and maintain international confidence. Countries do not borrow just for money but also to build strategic relationships. Through which trade benefits increase.

I think the main issue isn’t just about whether a country chooses to borrow or print money, but more about how responsibly they decide to manage these tools. When a country uses the funds borrowed or printed for productive purposes like developing infrastructure, education and other industries could potentially grow the economy and further increase the productivity of the economy which would also mean repaying those loans wouldn’t be a problem at all and inflation is also combated. But when a country borrows or prints money without any real growth in the economy, this potentially traps the country in long term debt and dependency.

[boyptc]

Money cannot be printed at will.

It actually can. If the government wishes to print it for some reasons, they can.

One major reason for this is that printing more money increases inflation and then the value of the money decreases. Therefore, many countries borrow to keep the economy under control and maintain international confidence. Countries do not borrow just for money but also to build strategic relationships. Through which trade benefits increase.

Yes, that's how it goes.

Despite that the governments that are in need of money can print their own money and adds more supply, there is a consequence for doing that.

And that's going to shape their economy badly if they will do it on an instant. But instead, they ask and borrow money from their allies which is a necessary thing to do.

[Hanadawa]

Debt is also a tool, when used right it brings stability and less inflation in a country, that's why many countries prefer to borrow money rather than printing money. Debt isn't not bad like you think.

The current monetary system requires every country to borrow to keep the economy running and prevent stagnation. This is similar to inflation, which must remain constant and cannot reach zero, as it helps keep a country's economy running smoothly. To the layperson, national debt seems alarming, as defaulting on debt payments would lead to bankruptcy. However, in reality, numerous variables and other factors contribute to the near absence of debt, even among developed nations. Regarding printing money, I believe the current modern financial system is complex and fragile, as it uses paper as a medium of exchange, with value based on agreement. This fiat currency system causes countries that print money to be flooded with their own currency. In the context of international trade, if a country lacks substantial production and export value, its currency will plummet, leading to hyperinflation.

[Rengga Jati]

Just because a country have access to their printing machine doesn't mean they should turn it on and start printing money, this brings inflation and inflation brings instability.

When I was in elementary school, I thought that if this country could print money, just print it as much as it wanted, so the country would be rich, because at that time there was an economic crisis. But at that time, that was a child's thinking. Now, I'm sure we're adults, we have our own thoughts on that, we have our own ways of reading various information, countries also have their own regulations, and these regulations are also based on various considerations and laws, both nationally and internationally, which can have a major impact on the country. Likewise, regarding fiat printing, there are usually regulations.

As you said, all clear actually.

[Y3shot]

I am still shocked to know that even when money can be printed as much as possible, countries, nations goes after each others to borrow money but yet they can on their own print money instead of having to go borrow and leaving the nation indebted other nations. Just as for instance our country do borrows money from China.

Is that right or they are trying to maintain economic value?
What do you think?

Printing money is not what makes a country rich or improves its economy; most of the poor countries you see today are a result of printing more money. When money is printed, it kills the economy of a country.

No matter the quality of money you have, it holds no value, which is why some countries will never see printing money as an option for acquiring more money. Instead, they prefer to borrow money and work on other resources from which money can be generated, allowing them to pay back the borrowed money. There is value in money when it is scarce, but when there are excess notes, money loses value.

[demonica]

Just because you can, doesn't mean you should. Printing money isn't just as simple as "print more to have more money". In economics, there are bad effects of printing too much money, and it could highly affect a country's economy. Printing too much money will cause inflation, and losing the currency's value. The people and the economy will suffer with this.

If printing money is just that simple, they should've been doing that since the start. But no, they limit the printing of money to balance and amount of money circulating. Just look at what happened in Venezuela, their money was almost worthless due to hyperinflation.

[Youngrebel]

There are certainly rules guiding these things.  The  government has be be guided and even the central bank is also guided by monetary policies that has to follow the the quantity of money to be printed, when it needs to be printed and why it has to be printed.
Printing excessively can lead to a couple of things like inflation and other things which would in turn affect the economy in the end.
Not because money can be printed then it therefore means that money has to be produced or printed every ol the time.

[Maslate]

To prevent inflation, and too much printing of money could even result into hyperinflation. That is why no country is doing that, because their citizens will surely suffer the consequences. But instead, they prefer to take loans from other country in order to save their economy, in order to finance the pending projects that could give benefits to the majority.

But if one's economy is already progressive enough, no need to make loans. This is the reason why such country's leaders encourage their people to patronize their own products, and always be productive because it will be an asset to the progress of the country's own economy.

[leonair]

I am still shocked to know that even when money can be printed as much as possible, countries, nations goes after each others to borrow money but yet they can on their own print money instead of having to go borrow and leaving the nation indebted other nations. Just as for instance our country do borrows money from China.

Is that right or they are trying to maintain economic value?
What do you think?

The government of your country can print local money in your country, but when it imports goods from other countries or makes any agreement with Bangladesh, the government has to pay dollars, which are kept as foreign reserves. Printing a large amount of money will only lead to inflation in the country. Because then the price of the dollar will increase and it will take a lot of money to buy any product. And there are some laws and procedures for printing money, so the government cannot print money at will. The more they print, the more the value of the currency of that country will decrease. That is why the government borrows from other countries but does not print money as it wants.

[Vaculin]

If it can be as easy as that, then we don't have to witness poor countries these days where people are struggling for survival.

However, that is not how central bank works. They can print money but with limits and target, and if they resort into printing excessive amount, it would create inequality which could lead to losing the value of their economy, and reducing the purchasing power of the people, and that scenario will definitely result into utmost poverty of the country and the people themselves.

[EFS]

Printing money is always an option for governments. Those who use it have to face the painful reality of inflation. As long as governments which has a mindset that see 4% monthly inflation as a success is in power, they won't see any problem with printing money. Because when you have a public and governments that have gotten used to inflation over the years, the number of sensible people who complain always remains in the minority.

[SilverCryptoBullet]

Printing money is always an option for governments. Those who use it have to face the painful reality of inflation. As long as governments which has a mindset that see 4% monthly inflation as a success is in power, they won't see any problem with printing money. Because when you have a public and governments that have gotten used to inflation over the years, the number of sensible people who complain always remains in the minority.

Governments can print money very easily and their money printing actions through history like decades actually make their national fiat currencies' purchasing power declining with time.

The USA government and the US Dollar purchasing power is a classic example but other fiat currencies have similar severe problems.
The purchasing power of the US. Dollar over time.

We can not change governments, force them to stop printing money but fortunately we have Bitcoin to invest our money in it, as our individual solution to fight against inflation.
https://charts.bitbo.io/satoshi-per-dollar/

[summonerrk]

I am still shocked to know that even when money can be printed as much as possible, countries, nations goes after each others to borrow money but yet they can on their own print money instead of having to go borrow and leaving the nation indebted other nations. Just as for instance our country do borrows money from China.

Is that right or they are trying to maintain economic value?
What do you think?

Any printing of money (national currency) within a country increases inflation within that country, devaluing all previously printed money. This can cause the national currency's exchange rate to depreciate relative to foreign currencies, further deteriorating banking mechanisms. Therefore, countries may borrow from other countries if they believe this money can help the country or generate profits in the long term
.We can see examples of governments endlessly printing money in Venezuela and African countries, where they then simply carry this money around in wheelbarrows and don’t know what to do with it, and the crazy inflation rates turn the money into just paper.

[Donk1]

I am still shocked to know that even when money can be printed as much as possible, countries, nations goes after each others to borrow money but yet they can on their own print money instead of having to go borrow and leaving the nation indebted other nations. Just as for instance our country do borrows money from China.

Is that right or they are trying to maintain economic value?
What do you think?

If the government starts printing money uncontrollably, this will lead to increased inflation. Many governments have gone through this repeatedly, but despite this, this lesson is poorly learned and some governments still consider this the right thing to do to solve their financial problems, and thereby create conditions for increased inflation and economic decline.

Yeah that's true but what’s still shocking to me is what are they borrowing money for Because basically we do not see what they are using it to do like there's no development, no jobs, for that I believe the money is definitely not to invest in the country. Basically I like to believe that the system is corrupt and this corruption is driven by the leaders who are supposed to actually stop it . unfortunately when the government borrows money from another country they are using the country's name to borrow it and because of that, instead for the economy to grow it makes everything worse. Indeed this leaves the country in  a debt yet the money it's all for their personal gains because they will never say what they are using it for...

​Overall yeah they are trying to maintain the economy value but then there is no value in an economy if borrowed money aren't used for the economy so I still don't accept the fact that the government borrows from other countries...

[asriloni]

The main purpose of borrowing money from other country to prevent your country gets hyper inflation. So it can retain the purchasing power of your currency against currency owner by other country. Uncontrollably printing money will lead to the weakening the purchasing power of your currency against other currency. Since the value of money is also reflecting the economic

-condition of country. The more money you printed, the less value against a currency issued by a country with stable economic.

[Saltysugar99]

Printing money and imposing prices are not the same thing. If you print money and give it to the general public of the country, the price of the product will increase. If you print money for the development of the country or for any government investment, the supply will increase. The price of the product will increase. The value of the money will decrease. The thing is that suppose you put 100 people in a market instead of 10. But if the products in the shop remain the same, the price will automatically increase because the demand will increase. But if the government takes a foreign loan. Later, if it invests with that money and exports the product made by the investment and makes a profit comparatively higher than the foreign loan, then the government will be able to develop the country by repaying the loan with interest. Many times, foreign loans are needed for the development of the country. In that case, the government takes a foreign loan and uses the remittances of its people living abroad to repay the loan. All these methods are much more convenient for the government than printing money. The government may decide to print money as a last resort.