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This government money comes without the interest burden and governments get the benfit of "seignorage".
It's not inflationary, unless you print too much of it: bank money has to be MORE inflationary then government money, all things being equal, because of the additional "rent" to the shareholders with the monetary monopoly.
ie cutting out "super profits" to bank shareholders could not possibly be inflationary. "The future is already here -- it's just not very evenly distributed" William Gibson
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