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I seriously doubt that the money was printed. It's all electronic nowadays.

There's so much confusion and cargo-culting around money, it would serve as well to use accurate language. The money was created, but not printed.

This is significant because "printing" evokes a picture of the money being distributed to people who then spend it, which is not quite the case here.



It makes no difference whether the money was printed or "created".


Actually, it makes an enormous difference. The supply of money that is created by banks can be increased and decreased through Fed operations. That means when inflation becomes a threat, the Fed can reduce the money supply, thereby reducing the money in circulation and reducing inflation risks.

Seriously, this is one of the Fed's primary tasks, to control inflation through monetary policy. It's sad how many people on HN fail to understand this.


It makes a huge difference because creating money follows regulations, "printing money" means you are ignoring those regulations.




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