Hyperinflation is inflation that feeds on itself. It has got to the point where inflation begets more inflation and the increase spirals out of control. Just think of the famous image of the German woman burning Deutschemarks because they had more value as heat than as money. That is extreme hyperinflation.
But defined in relative terms, I think the US has already hyperinflated. Just take a look at a recent money supply chart if you can find one. I’ll try to pull one up for you.
I think the US Fed thinks it’s going to “pull back” some of the excess liquidity once the economy is back up, if it ever goes back up. But history shows that rarely happens, and when it does, it has little effect.
And a great debate happening over here with the argument that
“Hyperinflation is impossible.”
Check it out and tell me if I’m wrong.
I’m not really worried about US hyperinflation, because that will be easy enough to protect your wealth from. I’m worried about the US forcing the rest of the world to hyperinflate with it.Related Posts
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