05-24-2016, 10:47 AM
The money supply will have to keep up with some other proxy (growth of the workforce or growth of productivity) to prevent deflation. If it overshoots badly, and hyperinflation usually reflects a political system overshooting the connection between money supply and growth, then one gets this sort of toilet paper as a joke of a currency:
![[Image: 250px-Zimbabwe_%24100_trillion_2009_Obverse.jpg]](https://upload.wikimedia.org/wikipedia/commons/thumb/3/3e/Zimbabwe_%24100_trillion_2009_Obverse.jpg/250px-Zimbabwe_%24100_trillion_2009_Obverse.jpg)
Now demonetized.
A currency not a joke:
![[Image: 252px-Renminbi_banknotes.JPG]](https://upload.wikimedia.org/wikipedia/en/thumb/2/22/Renminbi_banknotes.JPG/252px-Renminbi_banknotes.JPG)
Inflation is estimated at 2%. The country produces some desirable goods.
![[Image: 101px-HD-north-korea-1998-5-won-obverse.jpg]](https://upload.wikimedia.org/wikipedia/commons/thumb/c/cc/HD-north-korea-1998-5-won-obverse.jpg/101px-HD-north-korea-1998-5-won-obverse.jpg)
Often rejected in the country's shops. Not much useful stuff comes from North Korea, unless you consider street heroin useful.
Now demonetized.
A currency not a joke:
Inflation is estimated at 2%. The country produces some desirable goods.
Often rejected in the country's shops. Not much useful stuff comes from North Korea, unless you consider street heroin useful.
The ideal subject of totalitarian rule is not the convinced Nazi or the dedicated Communist but instead the people for whom the distinction between fact and fiction, true and false, no longer exists -- Hannah Arendt.