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Originally Posted by MarkTiarra
Okay, I was having a conversation last night and this came up. It's a hypothetical situation and I'm sure some economics genius here could explain this to me.
Assuming we're only talking domestic business here so no international ecominics comes into play.
Assume it's possible to enforce a law in which there is a price freeze on EVERYTHING and so no prices anywhere in the US on any single thing can change.
The government prints and issues $1million to every single citizen 18 years or older.
Why would this not work? I know that if they just printed money without the price freeze assumption that the dollar would devalue because of human greed raising prices. But with the price freeze what would happen instead?
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Lol, a "price freeze". I wish they would've done that with gas prices back in the 1970's.
Anyway, you cant print money like that because then as you may already know, money would become worthless. Might as well pay for something with toilet paper or newspaper.