6 ms·
what simple mistake did the weimar republic do that caused a hyperinflation? I thought it was primarily caused by a massive reduction in the supply of goods fol
by ahakki 7y ago
what simple mistake did the weimar republic do that caused a hyperinflation? I thought it was primarily caused by a massive reduction in the supply of goods following the versaille treaty without a corresponding reduction in monetary supply. At that point there really wasn't a lot the government could do to stop it.
Zimbabwe faced similar problems after disowning their most productive agricultural providers, reducing supply.
- econcon 7y agoMostly because of the world war they waged, they created bonds and then printed more and more currency to pay it off, creating hyperinflation.