weird thought

[JosephTheLibertarian]

What would happen if government deposited a billion dollars [or more] into thousands of bank accounts. Not private account, the gov would open these accounts, maybe with 100k cap, I think that's the maximum the FDIC insures per account.

What would happen?

[werdd]

they just deposited 80 billion into aigs account.

[Kludge]

The earth would split down the middle and Michael Jackson would start increasing 50% in size every other minute.

Then, after twelve minutes, he'd say "lolwtfbbq, why didn't the gov't just loan them the money?"

[UnReconstructed]

It would be essentially what we have right now. The only difference would be that government people wouldn't get the money first. The first people to get the money are the only people that benefit. Everyone else suffers because prices will go up.

When people have more money then they spend it which would increase the demand of the items they are purchasing and therefore those prices would jump even to thousands of dollars for a gallon of milk.

After WW1, the German government started to print endless amounts of Deutsch Marks (DM). This made the price of a newspaper go from 1/3 DM to 17,000 DM.

People were getting paid 3 times a day because inflation was so fast that they had to spend the money they had before prices could jump again. Housewives were getting the DMs when their husbands would get paid and take them in basket loads to the market to buy what ever they could. They would leave the baskets of DM outside the store while they went inside to negotiate on items and thieves would empty the DMs into the street and steal the baskets because the basket had more value.

Hyperinflation... that's where we are headed.