[A Vast RightWing Conspirator]

The real scenario is this: you buy some junk from China for $500. Since you don't have anything to sell to China that China wants, you print $500. China is using the money to further 'modernize' its army, engaging in some cooperative nuclear effort with Pakistan, or maybe Israel.

The $500 you printed further increases the over-supply of Dollars, causing your currency to further decline and maintaining or increasing domestic inflation.

You are able to do the printing trick until your currency becomes fully discredited. When then happens, China is going to demand Euros, or gold next time you are trying to buy something from China. There's no way you can print Euros or make gold.

[CanadianFella]

The real scenario is this: you buy some junk from China for $500.

Wrong! I work hard for my money and never spend it on junk. not even junk food

Since you don't have anything to sell to China that China wants, you print $500

Wrong! printing money is, uhm, illegal.

The $500 you printed further increases the over-supply of Dollars, causing your currency to further decline and maintaining or increasing domestic inflation.

Wrong! I never printed the 500 in the first place, and if I did I'd be in jail. You're full of it just like Willie.

[Cacophonous]

Oh man, I wanted to say that. Your response to canadianfella was right on. Well illustrated. Unfortunately, he probably understood nothing.