The Politics of Inflation: Who Pays the Price?

The provided texts discuss hyperinflation, a phenomenon characterized by uncontrollably rapid price increases, typically exceeding 50% monthly or 1000% annually. The sources explore the causes of hyperinflation, including excessive money supply growth not matched by economic output and government deficit spending, and its severe economic consequences, such as currency devaluation and economic collapse. While acknowledging that hyperinflation is rare, the texts examine concerns about potential hyperinflation in the United States, contrasting expert opinions that deem it unlikely with public anxieties fuelled by recent inflation rates and online speculation. Finally, the texts consider the historical and political implications of inflation control, highlighting the trade-offs between combating inflation and pursuing social and economic policies like public investment.