# 103.3 Lesson - GovernementCanPrintMoney

**Screen:** GovernementCanPrintMoney

**Headline:** Who should care that the government can print unlimited money?

**Reward:** 2

**Text:** Well, everybody should care!

The practice of government printing money -- or increasing the supply of dollars -- leads to inflation.

Inflation is an increase in the price of goods and services. In other words, the price for something in the future will be more expensive than today.

So what does inflation mean for citizens?

In the United Kingdom, the Pound Sterling has lost 99.5% of its value since being introduced over 300 years ago.

In the United States, the dollar has lost 97% of its value since the end of WWI, about 100 years ago.

This means a steak that cost $0.30 in 1920... was $3 in 1990… and about $15 today, in the year 2020!

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## QUIZ

**Question:** What does it mean when the government prints money?

**Answer:** The printing of additional money leads to inflation.

**Feedback:** Correct. This means that goods and services will cost more in the future.

**Correct:** true

**Answer:** People must exchange old dollar bills at the bank every year.

**Feedback:** Nope. Older dollar bills are just as valid as newer ones.

**Correct:** false

**Answer:** The appearance of the dollar bill changes.

**Feedback:** Incorrect. Although the government may issue new looks for bills, this has nothing to do with increasing the money supply.

**Correct:** false

<figure><img src="/files/CqdKUWpBJtMv1YCOjKwG" alt=""><figcaption></figcaption></figure>


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