“What happens if the government keeps trying to pay for things with printed money after the economy has employed every available worker? No one really knows. One common theory is that hyperinflation would result. This is a disastrous spiral in which prices rise so quickly, and so unpredictably, that a country’s entire economy grinds to a halt and the nation collapses into poverty. For a look at how hyperinflation can immiserate a nation, simply examine the stories coming out of Venezuela.”
USAGOLD note: An interesting excursion into where we might end up if socialist economists get their way under the new “modern monetary theory” (MMT).
Related: Please see – Gold as a hedge against hyperinflation