Talk:Inflation/Archive1
I don't see[edit]
I don't see the mechanism for causing hyperinflation in the U.S., mainly because most businesses can't or won't give their employees raises and don't deal with that much case any more.
From what I've read about Germany's hyperinflation, for example, it got to the point where businesses would pay their employees with sacks full of paper money twice a day. The employees would then hand the money off to relatives who would go immediately to stores to buy what the household needed before prices went up later in the day.
Does anyone seriously propose that this could happen in the U.S. in the 21st Century?
Advancedatheist (talk) 16:33, 18 January 2012 (UTC)
What about printing money?[edit]
Article says in the section labeled "causes":
"There are two types of inflation agreed upon by modern economists:
- Cost-push: Where supply-side effects create the rise in prices, such as, for example, a depleting metal rising in price, because the cost to extract each unit of metal rises as it becomes more scarce.
- Demand-pull: Where demand-side effects create the rise in prices, such as with fuel, where the newly industrialized East Asian countries need oil, and thus demand huge swathes of it too, raising overall demand for fuel from the industry, or where money is simply printed, leading to more spending with no concurrent rise in product, causing demand for a same number of products to rise, and thus rising prices also."
What about printing extra money; this causes inflation eventually. Unicow (talk) 01:00, 18 March 2012 (UTC)
- I also think that a too large money supply increase compared to the increase of economic activity should also be mentioned as a source of inflation. It is a problem Chili had under the dictator's regime, as can be checked in the BBC's documentary 'The history of money'. But also in many scholary articles under the name of the 'Dutch Disease'. I myself being a Dutchman can tell you, we had a high inflation when we found our first huge gasfield, because we were exporting the gas with which our government increased spending. But because the 'real' economy did not increase with the same speed as this new money was brought in, we had a lot of inflation. 84.245.14.96 (talk) 10:48, 4 December 2012 (UTC)