3 ms·
Its how it worked in the Weimar Republic in the 1920s, in Argentina in the 1980s, Zimbabwe after 2011, and in Venezuela in recent years. Especially if you look
by jkepler 5y ago
Its how it worked in the Weimar Republic in the 1920s, in Argentina in the 1980s, Zimbabwe after 2011, and in Venezuela in recent years.
Especially if you look at bond market yield curves going negative, and consider that massively indebted governments don't have any politically viable options to solve their debt problem other than default through massive inflation.
It could totally happen. Governments don't have a good option.
- cerved 5y agoIf everyone's wealth increased by $10 because they produced $10, the price of a loaf doesn't magically become $100. You're mixing up monetary policy with macroeconomics. Though often correlated to a degree, they are not the same. The Weimar republic adding zeroes to the DM is not the same as wage increase due to economic growth