Could the Weimar Hyperinflation Happen Again in America?

arabianights · Jul 13, 2009, 10:01am

fwiw poborsky, I agree

I also think that it will be extraordinarily quick and catch us all off guard.

N Rothschild · Jul 13, 2009, 10:03am

Quote:

Originally Posted by poborsky

I believe that hyperinflation is a near certainty in the UK and USA. Massive trade and budget deficits and falling tax revenues make it very difficult to pay debts back with anything but devalued currency. Both countries have been purchasing their own govt bonds to keep interest rates artificially low and create a market for the debt. In other words electronically printing money. This is Zimbabwe style economics. The debt to gdp figures that are used disguise the fact that the economic activity is being created not by useful productivity, but by borrowing and printing more money used to bail out bankrupt institutions and companies. Deflation will be a short term symptom of this crisis, followed by currency collapse and runaway inflation.

i think some of you underestimate the era of inflation and credit creation that has come to an end..the fed buying government notes is just a small aprt of money creation..

N Rothschild · Jul 13, 2009, 10:06am

for one, if such mega hyper world destorying inflation is coming, why is gold not even trading above last years highs?

imo the entire fiat monetary system is slowly failing..

squall321 · Jul 13, 2009, 10:08am

why do gold dealers advertize on the all conspiracy radio shows/websites

if they were so sure hyperinflation was coming it makes no sense to swap their gold, for joe tinfoilhat's worthless paper money

instead of making 20-30% on each ounce (whatever their profit margin is, i don't know) which will be destroyed by the h.i anyway
they could just sit on all their gold and make a 200-300% or MORE return when the hyperinflation comes

the dealers couldn't be swindling joe public could they :O

N Rothschild · Jul 13, 2009, 10:13am

last 10 years has been mega inflationary, to the point governments hid the true figures..without the continuation of the credit bubble how are prices gona go hyper inflationary? the govt printing a tril or 2 is nothing compared to the credit that has been created in the last decade

arabianights · Jul 13, 2009, 10:28am

Genics old boy if fiat money collapses that is the ultimate inflation...

poborsky · Jul 13, 2009, 10:31am

I think a better and more recent example would be Argentina who increased deficit spending in response to a recession. Falling taxes, bank failures and printing money leading to a loss of confidence in its currency as the country struggled to meet debt payments.

N Rothschild · Jul 13, 2009, 10:32am

America aint Argentina is it though. Argentina debt was in foreign currency which as most people know is economic suicide.

Jul 13, 2009, 10:01am	#17
arabianights Legendary Member Member Since Jan 2007 6,782 Posts	Re: Could the Weimar Hyperinflation Happen Again in America? fwiw poborsky, I agree I also think that it will be extraordinarily quick and catch us all off guard. __________________ World's leading STIRs chatroom - www.propboards.com - register, then click on chat. Don't let the lack of posts on the forum put you off - the action happens in the chatroom. Targeted at locals, but hedge funds, brokers (including IDBs), market makers, and a few sizable amateurs are all represented. When it's quiet, banter is encouraged and anything goes. No nuisance spread betters please. Anyone else welcome.

Jul 13, 2009, 10:06am	#19
N Rothschild Legendary Member Member Since Oct 2008 5,317 Posts	Re: Could the Weimar Hyperinflation Happen Again in America? for one, if such mega hyper world destorying inflation is coming, why is gold not even trading above last years highs? imo the entire fiat monetary system is slowly failing.. __________________ "Let me issue and control a nation's money and I care not who writes the laws." Mayer Amschel Rothschild Bullsh!t, Bearsh!t all smells the same to me! "It is not cheap to develop automated systems , mine already cost over $1m. " oildaytrader

Jul 13, 2009, 10:08am	#20
squall321 Senior Member Member Since Apr 2009 488 Posts	Re: Could the Weimar Hyperinflation Happen Again in America? why do gold dealers advertize on the all conspiracy radio shows/websites if they were so sure hyperinflation was coming it makes no sense to swap their gold, for joe tinfoilhat's worthless paper money instead of making 20-30% on each ounce (whatever their profit margin is, i don't know) which will be destroyed by the h.i anyway they could just sit on all their gold and make a 200-300% or MORE return when the hyperinflation comes the dealers couldn't be swindling joe public could they :O

Jul 13, 2009, 10:13am	#21
N Rothschild Legendary Member Member Since Oct 2008 5,317 Posts	Re: Could the Weimar Hyperinflation Happen Again in America? last 10 years has been mega inflationary, to the point governments hid the true figures..without the continuation of the credit bubble how are prices gona go hyper inflationary? the govt printing a tril or 2 is nothing compared to the credit that has been created in the last decade __________________ "Let me issue and control a nation's money and I care not who writes the laws." Mayer Amschel Rothschild Bullsh!t, Bearsh!t all smells the same to me! "It is not cheap to develop automated systems , mine already cost over $1m. " oildaytrader

Jul 13, 2009, 10:28am	#22
arabianights Legendary Member Member Since Jan 2007 6,782 Posts	Re: Could the Weimar Hyperinflation Happen Again in America? Genics old boy if fiat money collapses that is the ultimate inflation... __________________ World's leading STIRs chatroom - www.propboards.com - register, then click on chat. Don't let the lack of posts on the forum put you off - the action happens in the chatroom. Targeted at locals, but hedge funds, brokers (including IDBs), market makers, and a few sizable amateurs are all represented. When it's quiet, banter is encouraged and anything goes. No nuisance spread betters please. Anyone else welcome.

Jul 13, 2009, 10:31am	#23
poborsky Veteran Member Member Since Oct 2008 539 Posts	Re: Could the Weimar Hyperinflation Happen Again in America? I think a better and more recent example would be Argentina who increased deficit spending in response to a recession. Falling taxes, bank failures and printing money leading to a loss of confidence in its currency as the country struggled to meet debt payments. __________________ I think myself that we have more machinery of government than is necessary, too many parasites living on the labor of the industrious.

Jul 13, 2009, 10:32am	#24
N Rothschild Legendary Member Member Since Oct 2008 5,317 Posts	Re: Could the Weimar Hyperinflation Happen Again in America? America aint Argentina is it though. Argentina debt was in foreign currency which as most people know is economic suicide. __________________ "Let me issue and control a nation's money and I care not who writes the laws." Mayer Amschel Rothschild Bullsh!t, Bearsh!t all smells the same to me! "It is not cheap to develop automated systems , mine already cost over $1m. " oildaytrader Last edited by N Rothschild; Jul 13, 2009 at 10:39am.

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