Question

what are some problems with a national bank that can print paper money instead of using only silver and gold coins as money? benjamin franklins print shop could become too rich because it was the only place in philadelphia that could print the paper money. it can cause inflation, boom and bust cycles, recessions and depressions because they can print too much paper money with nothing to back it up. it can cause a paper shortage and people could not write letters to their loved ones. no one had invented a printing press that could keep up with the high demand for paper money, so there would always be shortages. rewatch submit

Explanation:

The core issue with unbacked fiat paper money (vs. gold/silver standard) is overprinting without tangible backing, which disrupts economic stability. Other options are either localized, trivial, or factually incorrect.

Answer:

It can cause inflation, boom and bust cycles, recessions and depressions because they can print too much paper money with nothing to back it up.