its hyperinflation till the end and then massive deflation. Quoting: Anonymous Coward 12435395
No, itís the meaning of hyperinflation that need clarification.Hyperinflation is not the printing of massive amounts of paper script
called money as it "is" the actual "loss of faith" in a/that currency that creates hyperinflation.
Your neighbor will try to get rid of his dollars before you get rid of yours. This escalates the prices of everything through the roof because the currency becomes a "hot potato" and no one wants it, as everyone tries to get rid of it in exchange for any bit of value that can be extracted/exchanged from it before it becomes worthless
There will be no deflation in that currency because they will change it to something else before any deflation in it, because people by then know its worthless and have no faith in it.
Name one countries currency that went into deflation after hyperinflation ? You wonít find one !
The banks will buy the real value in hard assets like Gold or metals with the paper script "they" printed "while you had faith" "in it" long before you do. They will also sell you the paper script that represents the underlying asset that they are trying to accumulate by selling you ETF's like GLD that you "cannot" exchange for real gold. (only guys like Scoros) can
Look up the BIS (B
ettlements) and reclassification of Gold from a tier 3 (50% weighting) to a tier 1 (100% weighting) class asset on their balance sheets that should occur in early 2013 coinciding with the release of a new "basket of assets" world reserve currency that includes a 50% weighting of Gold.(worldwide)
Reference Zimbabwe !