Thursday, 17 October 2013

Next stop on the road to economic armageddon - "Hyperinflation"

The shutdown is over, for now. Hyperinflation is the next bogeyman on the block.

 The logic is simple.  Endless printing of money should lead to inflation right?  Not happened yet, but in theory it should.  Plus, deflation is such bad news that inflation is the least of our worries.

Perhaps not.  John Williams ( says that the weakening dollar will lead to the first signs of hyperinflation.

This is a sensible discussion and worth reading to get some basic economics underpinning the current situation.

Conclusion:  Of course, you guessed in conspiracy fans, start buying gold and silver and hard assets.  The price of $100,000 an ounce is mentioned.  This makes gold look very cheap.....

Perhaps the big conspiracy is convincing people to buy shiny metal by scaremongering about shutdowns, ceilings, quantitative easing and the falling dollar.

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