Business Administration & Management:
Too Much Money Questions
February 25 , 2015
1. What is Inflation?
2. What happens to purchasing power when government creates too much
money?
3. Why do governments print too much money?
4. Why were George Washington’s troops paid with money that was nearly
worthless?
5. What did the ancient Incas do with gold?
6. What happened after the conquistadors brought galleons full of silver
and gold from America to Spain?
7. Why did Germans use their money as wallpaper and kindling in the
1920s?
8. What did Bolivians use as currency when their pesos became worthless?
9. What did Bolivia in the 1980s, Germany in the 1920s and America in the
1770s have in common?
10. How can there be such a thing as “too much money”?
(more on next page)
Advanced questions
11. Can you think of another episode in history where money became
worthless?
12. Can you think of another episode in history where citizens did not want
to use their national currency?
13. Can monetary policy be more focused, and more subtle, than simply
“printing more money”?
14. Is the current US monetary policy at risk of creating inflation?