5. When the Federal Reserve simply prints more money
we get inflation. There needs to be some kind of control on how much money is printed.
Germany in the 1920's tried solving their economic woes by printing more money. And printing more money. And printing more money. After a while, it took a wheelbarrow full of money to buy a loaf of bread. Housewives would race to stores as soon as their husbands were paid to buy goods, before the prices went up.
Printing more money is only good in small increments at best.