Can a Nation Print Money to Solve Poverty?
Can a Nation Print Money to Solve Poverty? Student asked "Teacher, I am poor. Cant the government just print more money and let us spend?" This is a very popular question asked by my students whenever we talk about the economy. This may be a long read, but spare few minutes and read through. Currency is not money backed by Gold since the Nixon Shock (u can google it to understand the history of when nations started giving up Gold as a standard to back their money). So using a very simple analogy to explain the situation. Let's use "Teacher" as your government and "Students" as the people and exam marks as the money each of them deserves. Some work hard and brilliant, so they got themselves more marks than others. Some are contented with enough for themselves so they stopped there. Some are really really backwards and behind and never seem to rise up to the standards - and we have those in poverty. Let's say they only score 5marks in each exam and w