http://www.pinnacle-strategies.com/Jonah%20Training.htm
Deflation and inflation are two problems that arise in an economy that must be solved if a stable trade environment is to be reached.

Deflation arises when there is too little money to flow and inflation comes about when there is too much of it to know what to do with. Generally with deflation people are working and saving to pay off debts, there is too much debt and so there needs to be some stimulus to create more money in the economy. Western countries have dealt with this problem which is affecting the global and national levels of economic growth by printing money from thin air, several billion Dollars worth of new money in fact.

Here I'll out line their method of creating this new money. The government requires $10billion and goes to the Federal Reserve with the request. The Federal Reserve replies yes, we will buy $10billion in government bonds from you. The government then goes about drawing up some pieces of paper