Government printing of money to finance government spending is called

Question

Quizplus · Accepted Answer

Seigniorage refers to the profit that a government makes by printing money. When the government prints more money than it takes out of circulation, it can use the excess cash to cover its expenses. This is often done when the government does not want to raise taxes or borrow money from the public. However, excessive printing of money can lead to inflation and decreased purchasing power for citizens.

Government Printing of Money to Finance Government Spending Is Called