Question

What is likely to happen to the economy when there’s too much money or credit circulating?

Answer 1

It depends on HOW much money is circulating. If governments just print money with nothing to back it, hyperinflation occurs. If there's a bit too much money and credit, inflation happens. Generally, 3% inflation is considered normal and a healthy amount by economists.

Answer 2

The unemployment rate will go up.

Step-by-step explanation:

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