Megiddo said:
Actually, giving people free lunches and getting more people spending in the economy will be a good thing. Whereas throwing money into a hole like the US military does nothing to help spur domestic economic growth. Even in your extremely simple reduction the intelligent choice (in terms of what would be better for the country) is completely obvious. |
It's not. Giving people money to be unproductive will always lead to inflation. There is less incentive work and procude goods = less goods being produced or no inovation to improve productivity. It means that in the long run, there will be less goods and more money flowing in the economy = the money value will fall and the prices of the goods will rise.
It was tried countless times on several nations through the past century: printing money and giving to everybody and the result was always hyperinflation.







