Because government is a huge debtor, it benefits from inflation.

Name: Because government is a huge debtor, it benefits from inflation.
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Question

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When inflation occurs, the value of money decreases, which means that the government's debts are worth less in real terms. This benefits the government as they can repay their debts with devalued currency. However, it also affects the citizens and the economy as a whole as the purchasing power of their money decreases.

Because Government Is a Huge Debtor, It Benefits from Inflation