Hyperinflation in a super centre will lead to societal meltdown, massive change in rule of law, and a massive reallocation in assets. I wouldn't be surprised if we had a revolution on our hands.
Those countries you speak of were when the markets weren't tied to each other and weren't highly correlated/dependent (1700-1960s). This was due to flux in global geopol structure where the countries didn't have much to do with each other.
Tell me the last time a developed nation got hyperinflation.
Stick your money in uncorrelated risky countries, and you take the yield, but you take the risk of hyperinflation.
>Hyperinflation in a super centre will lead to societal meltdown, massive change in rule of law, and a massive reallocation in assets.
What's a "super centre"?
>Those countries you speak of were when the markets weren't tied to each other and weren't highly correlated/dependent (1700-1960s). Tell me the last time a developed nation got hyperinflation.
Argentina (ended 1991) and Yogoslavia (ended 1994).
You have a country that went under massive transformation and another under the thumb of dictators. Two risky countries. Two high yields. Two cases of hyperinflation. Just like I said.
Hyperinflation is often associated with wars or their aftermath, political or social upheavals, or other crises that make it difficult for the government to tax the population.
Obviously the next comparison will be with the largest and most stable economies the world has ever seen, moving the largest quantities of wealth it has ever seen. Not.
Super centres are where the majority of cash moves through, either for trade or as an intermediary. Eurozone, Japan, China, America, India. Those are the places that matter.
Some small POS country in South America and another in Eastern Europe are rounding errors. Hyperinflation is only a concern for relatively risky, isolationist countries that are still undergoing societal flux.
Once again, the reports of paper money's death have been greatly exaggerated - ESPECIALLY by those who stand to benefit from it - long gold/silver etc.
>Hyperinflation is often associated with wars or their aftermath, political or social upheavals, or other crises that make it difficult for the government to tax the population.
The western world may be headed for upheaval. Globalization and technological progress are making western labor redundant and the economic center of gravity may eventually move to the East.
Transformation brings uncertainty. Paper money will always remain as a tool, but when global orders change, as they have throughout history, individual currencies may be casualties.
Those countries you speak of were when the markets weren't tied to each other and weren't highly correlated/dependent (1700-1960s). This was due to flux in global geopol structure where the countries didn't have much to do with each other.
Tell me the last time a developed nation got hyperinflation.
Stick your money in uncorrelated risky countries, and you take the yield, but you take the risk of hyperinflation.