How does the economy “grow”? Where does the new money comes from?
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Imagine a tree. It has value but that value is not yet unlocked. You turn the tree into lumber and it becomes valuable for many things now. Then you create money, stocks, bonds, and put a claim on that lumber so it can be traded. Our economy grows when there are more resources turned into usable things that money then makes a claim on. However, we create money out of thin air, but we cannot create trees or coal or gold out of thin air, so even though money can increase indefinitely, resources are finite. The economy grows by having more trees to produce into lumber, not by creating more money.
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