I think they’d just print more money first wouldn’t they? That would lead to high inflation, and they’d need more money so print more, and next thing you know they’re challenging Zimbabwe for the highest denomination bill?
Ok, serious question: say that happens and we end up with $1000 for a sandwich type hyperinflation overnight shit. I’m assuming most financial institutions would be in ruins, but assuming they’re not, what happens to people with debts? Like, they can’t increase the amount you owe, so if you owed them $50k for a car loan, and suddenly $50k is the equivalent of a soda, would that make paying off pre inflation debts easier? I’m guessing there’s a big caveat that in that situation most things would not be functioning normally at all anymore.
Like, I’m not trying to be all “hurry up with the downfall of the US!” or anything like that. Just curious how this would play out for individuals. Is there possibly some silver lining for people with large medical debts, for example? Just wondering.
Just look at the historical examples of hyperinflation, e.g. Germany, Argentina, Venezuela. Your debts are technically wiped/worthless, but everything else goes to shit, and it takes at least a decade to recover.
I could see the government trying to step in though and do something about that because that would be a shit show, but you do have a contract so fuck them if they try.
It would be such a shit show though globally if the US went through hyperinflation, so ya it’s not something we want.
I think you’re missing the part where the US goes effectively bankrupt because it can’t sell debt. Everybody loses.
I think they’d just print more money first wouldn’t they? That would lead to high inflation, and they’d need more money so print more, and next thing you know they’re challenging Zimbabwe for the highest denomination bill?
Ok, serious question: say that happens and we end up with $1000 for a sandwich type hyperinflation overnight shit. I’m assuming most financial institutions would be in ruins, but assuming they’re not, what happens to people with debts? Like, they can’t increase the amount you owe, so if you owed them $50k for a car loan, and suddenly $50k is the equivalent of a soda, would that make paying off pre inflation debts easier? I’m guessing there’s a big caveat that in that situation most things would not be functioning normally at all anymore.
Like, I’m not trying to be all “hurry up with the downfall of the US!” or anything like that. Just curious how this would play out for individuals. Is there possibly some silver lining for people with large medical debts, for example? Just wondering.
It’s one of the paths to a debt reset, the most likely one at this point. Print money and hyperinflate the debt away
Just look at the historical examples of hyperinflation, e.g. Germany, Argentina, Venezuela. Your debts are technically wiped/worthless, but everything else goes to shit, and it takes at least a decade to recover.
Inflation does make your debts easier to pay yes.
I could see the government trying to step in though and do something about that because that would be a shit show, but you do have a contract so fuck them if they try.
It would be such a shit show though globally if the US went through hyperinflation, so ya it’s not something we want.
Bye bye confidence in the dollar.
What do think tarrifs are for? They get people used to inflation.