Visualizing Global Monetary Expansion
Since the 2008 Financial Crisis, global central banks have “printed” extraordinary amounts of fiat money
According to USA Today, “With a few strokes on a computer, the Federal Reserve can create dollars out of nothing, virtually ‘printing’ money and injecting it into the commercial banking system, much like an electronic deposit.” To provide stimulus after the 2008 Financial Crisis and now the coronavirus shock, global central banks such as the Federal Reserve have been printing unprecedented amounts of money.
Known by such terms as money printing, monetary expansion, quantitative easing, etc., central banks issue new money in exchange for assets such as government bonds, mortgage backed securities, and now corporate debt. As a result trillions of new dollars, euros, yen, yuan, etc., have been injected into the global economy in the past decade.
