Macroeconomy question

If you guys keep printing money, won't that cause hyper-inflation? In a standard financial situation, the banks can both print and RETRACT money. How do you guys pull money out of the system, or recycle? Or are you just printing money (that would be a bad way to pay people).

Actually, if we didn't add new money into the system, the currency exchange price for L$ would slowly climb. This is for two reasons:

1. There are many new people coming into SL who have less money (on average) than those already there.

2. People in SL are slowly spending more money than before... so the number of L$/person/month spent in-world is climbing.

Both these factors mean that if Linden did not print new money (which we do primarily through stipends and new accounts), lindendollars would become more and more scarce, meaning that the price would tend to rise. Out goal in maintaining the economy of Second Life is to keep the exchange rate fairly constant by adding new L$.