But what if one country was in debt to another country and to pay back the debt, they give them a shitload of money printed specifically just to pay off the debt? Wouldn't it then be the case that this surplus of money is instantly taken out of the first country's economy and then it shouldn't cause inflation there?
Surplus_32 t1_j297kqq wrote
Reply to comment by yalloc in eli5: Why couldn't a country in debt mint a coin of immense value and use it to pay off the debt? by Derikoopa
But what if one country was in debt to another country and to pay back the debt, they give them a shitload of money printed specifically just to pay off the debt? Wouldn't it then be the case that this surplus of money is instantly taken out of the first country's economy and then it shouldn't cause inflation there?