While giant QE programmes have left many analysts speculating about the collapse of the dollar, economic data suggests otherwise

In the 3 month period between March - June in 2020, the Federal Reserve Bank of America printed more money during the early stages of COVID-19 than throughout the global financial crisis of 2008-2012. Marking the largest stimulus programme in its history, the Fed committed over $4 trillion worth of fresh cash into capital markets in response to the pandemic. 
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Such is the scale and ‘limitless’ resources of the US Central Bank that many speculators are now warning of a potential dollar depreciation and risks to inflation should these stimulus programmes continue. Economic theory states that as the money supply increases, the demand for money falls causing a depreciation in the exchange rate and potential currency devaluation. When this happens, imports become more expensive and the result is higher inflation.

In a post-Covid economy creating new jobs will be crucial in Ireland; a good place to start would be the Gaming sector where government funding is long overdue

Since the introduction of the Section 481 tax relief scheme in 1997, direct employment in the Irish Film and TV sector grew from 1,000 to 12,000 between 1997 and 2019. The industry now employs more than Google and Facebook combined.

It is estimated that for every euro spent on Section 481 outlays, approximately €3.50 is generated as a net benefit to the economy. A PWC report for Screen Ireland in 2020 shows that S481 payments totalled €41.52m, with €144.35m earned for the exchequer in the form of income taxes and VAT. Such figures represent over 3:1 return on investment and as such, the audio visual sector is now worth over €1 billion to the wider economy.

Many years ago during my undergrad in economics I debated among friends and classmates about the benefits of governments printing money to ease short-term economic crises. They disagreed strongly and said such Keynesian policies would be ruinous! They reminded me how hyperinflation in the 1920’s crippled the German economy as its central bank printed money to refinance its debts from World War 1.

​True, after the war the Deutsche Mark collapsed as investors lost confidence in the German economy. Germany had suspended the gold standard and began printing new Deutsche Marks to fund the war. When the economy contracted the global demand for these Deutsche Marks fell as investors bought less German goods. In addition to large reparations, a vicious cycle ensued as the government continued printing money to cover on-going deficits