Comments by "పక్షి భితి" (@user-pakshibhithi10) on "Erdogan pledges to tackle record inflation in Turkey | DW News" video.

@jsdotnetsql It's more like printing money. And, even if a country is burdened by too much debt, it's inflation will rise. Example, Pakistan.
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@MrLoobu Why? And, keep dreaming, that won't happen, the country in which you live is more likely to break apart rather than Super powers like USA.
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@jimflagg4009 Yeah, that's his point, but ultimately, there will be some super powers at any point of time. If these countries fall other countries will take their role.
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@jsdotnetsql There is something called "case study" in universities, which makes people understand the concept better. I was just trying to give you that example.
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@jsdotnetsql So you need a different answer? What kind of answer do you need? Inflation can happen anywhere, it depends on how well the government handles the situation. You asked how borrowing causes inflation. I answered that question. Maybe, not the way you wanted. Let me explain, USA and Japan have the ability to pay back their borrowings, they take loans at low interest, because any country won't doubt that those countries would be able to pay their loans back or not. Inflation happens due to borrowings when, when a country borrows money and it doesn't have the money to pay back when time comes, they would need to print more money (or) take even more loan to pay back the previous loan, which leads to devaluation of their currency, due to lesser trust in their currency, the demand for that currency decreases, which leads to inflation.
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@jsdotnetsql Yeah, even I mentioned about the trust, if you read my latest reply to you. USA wouldn't be able to pay it's entire debt back, any country Cannot do that, the point is, USA has a lot more time, and even controls many economic institutions, they can even change the trend of interest rates to negative interest rates, in that case debt becomes an asset, the country with highest debt has the biggest advantage. Economics explained has made a video about it, you can watch his video. I'm not very good at explaining things, maybe you understood it by now 😅.
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@jimflagg4009 African countries cannot manufacture much as of now. 1) Their are more children than adults there. 2) Low-skilled labour due to abysmal literacy rate. 3) There are some countries in Africa which have high literacy and skilled labour, but they are already richer than countries like India or Vietnam, so companies would choose Asian countries over African ones.
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@jsdotnetsql That's the catch. If you borrow more and don't use it in positive ways, it gets ruined, and the pressure of paying it back is on your head without any positives of the borrowings. Pakistan and Turkey are in FATF grey-list for money laundering, which eats of your money without you using it. That's the reason for inflation in Pakistan.
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@jsdotnetsql Being in FATF grey list is also a big contributor for Turkey's inflation.
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@MrLoobu World doesn't run in that way my friend.
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@jsdotnetsql I am just giving an example. Why don't you understand?
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@MrLoobu New Super powers will also be the same. They would do anything for their interests. It is the nature of human civilizations.
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@MrLoobu Super powers according to today's definition didn't exist in those days, because people in those times didn't even know how big the world was, far from projecting power on the whole world. In those times life was even brutal, slavery was a normal practice, 80% of Romans and Greek citizens were slaves of the rest 20%, slavery was less widespread in East, but kingdoms always killed foreigners and raided other kingdoms, raids from nomads were common, neighbouring kingdoms were always hostile to everyone, Wars happened every now and then. It was a much worse world. There were bullies in every point of history. And that is a fact, that is the nature of human civilizations.
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@jsdotnetsql Even govt borrowing the money causes inflation, in certain conditions.
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@MrLoobu It's estimations brother, I just stated what some historians said.
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@MrLoobu I don't understand.
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@jimflagg4009 What do you mean? We are talking about countries inflation so I was getting into macro-economics, I was not just talking about that private borrowing leading to inflation. I was also talking about Govt borrowing leading to inflation in some circumstances. That's why I was getting into macro-economics, because govt borrowing doesn't cause inflation in countries having high trust (you know what I mean) and also if the the debt to GDP ratio is low. That's why I was differentiating between different countries. So I need to mention macro-economics.
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