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75 sats \ 6 replies \ @Satosora 31 May \ on: Real interest rates in the eurozone continue to rise econ

That is a lot of red... What happens if they dont print money? Wouldnt inflation go down slowly?

if they don't print the money, the states go bankrupt. then you have the deflationary supercharos.

Is this the correct graph to see the amount of money available? One thing I've never understood is how this amount goes down, does the central bank take it out of circulation? Or is it when the debt issued reaches maturity?

https://m.stacker.news/33338

26 sats \ 0 replies \ @jakoyoh629 31 May

Good question, I'd also like to know.

0 sats \ 2 replies \ @Satosora 31 May

Couldnt they do that on purpose though? Actually, germany cant make the decision to print money, it has to be the whole eu, right?

10 sats \ 1 reply \ @TomK OP 31 May

yes indeed, the decision to monetize government debt is made by the ECB. but the path is clear, they make no exceptions, all new government debt is simply printed away. this works well until it no longer works well.

0 sats \ 0 replies \ @Satosora 31 May

True. They will just print until its impossible to do. Soon the paper will be worth more than the note.