Hyperinflation Danger in the USA

[Akiyama]

Tonight I'm sharing with you how the USA, with its debt over ten trillion, will likely lead into hyperinflation. In this case, US dollars become almost worthless and a loaf of bread can cost over $100 in just a few months or less (a possible starting event of hyperinflation). I encourage people to watch these videos and check out http://www.inflation.us/ so you can decide if we can trust our government to avoid a crisis within the decade.

I recommend The Dollar Bubble and Meltup to start, but watching them both requires over an hour of watching time.

People who don't think this can happen should think about its possibility. We don't know what will set off hyperinflation, but as long as we have a weak economy, Wall Street bailouts, and trillions of dollars overseas and in big bankers' hands, we're not in a safe position. You can accept this warning, or dismiss it, but I post this because I don't want VR caught off-guard and put into poverty without this possibility explained.

As for me, I think I'll help a presidential candidate who can at least lessen or prevent this crisis.

[Celsius]

1. A loaf of bread will never reach $100.
2. even though the US is in debt, it's doing better than a lot of countries.
3. once Obama is gone, things will probably improve a bit.

[Akiyama]

Originally Posted by Celsius

1. A loaf of bread will never reach $100.
2. even though the US is in debt, it's doing better than a lot of countries.
3. once Obama is gone, things will probably improve a bit.

*shrugs* It's up to the persons seeing this topic to think for themselves between the mainstream and the warnings.

[Idno58]

I just want to know, and this thread seems to be a good place to ask.

Is there any particular reason the higher-ups keep printing bills non-stop, even though everyone I've heard says it's wrecking our economy?

[Akiyama]

I believe it has something to do with the idea of giving money to banks so they can lend it and thus make business grow. I think it's us trying to make another bubble so our economy will seem like it's growing just like it did after the dot-com bubble to make the housing bubble. Printing money can also be a way to pay for our debt, even if it reduces the spending power of our money, and this is where we hear the inflation tax comes from.

Plus I noticed a savings account I recently opened had an interest rate of .01% (at Chase, seriously). That's pretty darn awful, and it seems the low interest rates don't give me as much reason for saving as before.

[The Spirit of Time]

Thanks to my Business Studies, I understand what you are talking about and in details, yet I still I hate Economics.

The fact that the U.S is in such a debt, doesn't make it the only country in danger, but almost all the world, since it is the most used as a de facto and reserve currency.

I doubt that by the departure of Obama, things are going to get easier, as ten trillion is not an amount that can be reduced in 5-6 years. However, for a loaf of bread to reach $100 is impossible, as even if prices go up, the government will be trying its best to invest in the baking industry to keep prices as low as possible, unless it wants half of its citizens to start suffering from starvation. The only solution I can think of is to change their financial plan and start ceasing all these wars that are costing millions. Maybe the debts would start dropping a bit at least.

[Idno58]

I do remember the only time it was possible for a loaf of bread to cost $100 was in California during the gold rush; back then everyone took advantage of all the gold and the prices of goods skyrocketed.

Anyway, I've read in Global Histories, that there used to be an old French philosophy regarding how to avoid this kind of situation. It largely consisted of exporting more than you import. But, with China having their uber-cheap manual labor and services, it kind of sucks that our morals and liberty are backfiring on us, and we can't exactly compete.

The only things I can think of that the US has more than anyone else is Chicken, Cotton, and Fresh Water. According to some sources, the leading export from the US to China is Chicken. And... chicken is all and good, but we still import waaay more than we should.

At least that's my way of looking at it.

[The Spirit of Time]

Originally Posted by Idno58

I do remember the only time it was possible for a loaf of bread to cost $100 was in California during the gold rush; back then everyone took advantage of all the gold and the prices of goods skyrocketed.

Anyway, I've read in Global Histories, that there used to be an old French philosophy regarding how to avoid this kind of situation. It largely consisted of exporting more than you import. But, with China having their uber-cheap manual labor and services, it kind of sucks that our morals and liberty are backfiring on us, and we can't exactly compete.

The only things I can think of that the US has more than anyone else is Chicken, Cotton, and Fresh Water. According to some sources, the leading export from the US to China is Chicken. And... chicken is all and good, but we still import waaay more than we should.

At least that's my way of looking at it.

Yes, it is true that when exports are more than imports, your economy will rise, but is that possible with the U.S right now? I highly doubt it, and China will somehow lead the countries after some time.

[RK-9]

Originally Posted by Celsius

1. A loaf of bread will never reach $100.
2. even though the US is in debt, it's doing better than a lot of countries.
3. once Obama is gone, things will probably improve a bit.

What are you even trying to mean by "Once obama is gone"? That could be rude to a lot of people. And a loaf of bread CAN reach 100$ with enough inflation.

Next time, watch before you speak, kay? ;D

[Shadow]

@ Idno58: I think the 'philosophy' you're talking about is the balance of payments surplus, where the value of exports exceeds the value of imports (in simple terms). We've studied this topic as well as inflation last year in our Business class, and I must say it's not a matter of 'find a solution and work with it'. According to what we've been taught, it's a pretty complicated loop and the government should carefully deal with it.

Originally Posted by Idno58

Anyway, I've read in Global Histories, that there used to be an old French philosophy regarding how to avoid this kind of situation. It largely consisted of exporting more than you import. But, with China having their uber-cheap manual labor and services, it kind of sucks that our morals and liberty are backfiring on us, and we can't exactly compete.

Originally Posted by The Spirit of Time

Yes, it is true that when imports are more than exports, your economy will rise, but is that possible with the U.S right now? I highly doubt it, and China will somehow lead the countries after some time.

You got it the opposite way around.

[The Spirit of Time]

Originally Posted by Shadow

You got it the opposite way around.

I mistyped. I will edit that.

[A'bom]

I think the whole system is broken. People almost always want to sell something for more than they spent to make it. If you zoom out a bit, you can only support such a system for so long before it collapses under the weight of itself. Ideally, everyone should break even, but that's not how it works. If I build a chair, and it costs me five dollars to build it, then I sell it to you for ten dollars, that's five dollars that just appeared out of nowhere. Yeah, you can argue that maybe there were intangible benefits for you, like having somewhere to sit. However, from a "this is how much something is worth" perspective, intangible benefits can vary depending on the person. The way I see it, money is appearing out of nowhere, and this is making things less valuable.

I know there's a lot more to it than that, but what do I know? I'm not really qualified to say much on the matter.

[Akiyama]

Originally Posted by RK-9

What are you even trying to mean by "Once obama is gone"? That could be rude to a lot of people. And a loaf of bread CAN reach 100$ with enough inflation.

Next time, watch before you speak, kay? ;D

Personally, I hope he is replaced and we improve. Our financial situation perhaps isn't bad enough to cause hyperinflation, and I'm not educated enough to know how much debt is needed to cause it. Going on the course of trillion dollars or more per year added to our debt increases our interest payments that we have to pay, and if interest rates go up, then we'll have a lot more interest to pay for in our budget.

And sure, bread can get that expensive. With the right events like oil prices going way up if OPEC refuses our money (a lot of farming needs oil products and we have to truck the food to our supermarkets). A low supply can really hurt people if money is worth less over a short period of time. And the idea that "it can't happen here" is pretty dismissing of all the countries that went through it: Germany, Zimbabwe, Yugoslavia, and others.

At least we can hope that this won't happen, or will be delayed to 2015 or beyond. The events of the coming years will decide the dollar's fate. As for this thread, I hope people take it seriously and read up on it.

[Magmaster12]

Originally Posted by Akiyama

As for me, I think I'll help a presidential candidate who can at least lessen or prevent this crisis.

Don't worry when you vote for me I'll take care of it *shot*

Well there's really no solution to this problem unless we put higher taxes on the rich which will never happen because our system is broke.

[Celsius]

I am taking Advanced Prep Environmental/Political Science, according to our teacher, this won't happen for a few more decades, not any time soon.

[Armed Floatzel]

Originally Posted by Idno58

I just want to know, and this thread seems to be a good place to ask.

Is there any particular reason the higher-ups keep printing bills non-stop, even though everyone I've heard says it's wrecking our economy?

A lot of them are deliberately trying to wreck our economy. This is just one of the many videos I found that are warning everyone on youtube.

If anyone has any doubts, look it up yourself. And if anyone mocks people that warn of this coming disaster, stop it, grow up, and face the hard truth. This could very well be the Second American Revolution. Who would you trust to manage your life and the decisions you make? The government? Or yourself?

If anyone puts a blindfold on and says it won't happen, be prepared to have that blindfold ripped off when a national enemy points a gun at your head and demands that you swear complete loyalty to them, to help them destroy America.

These are sick, twisted people we're dealing with, and they're in our government. it's no longer a debate whether they're doing a good job at running our country, everyone knows there's evil on every level, even federal.

[Akiyama]

I don't really go for the new world order kind of stuff because I think our people in power are just that mislead as we are. They might be nice, wanting us to be in good condition, but they are going down a bad road. There was that Obama speech tonight: I'm not sure if it's going to be a really bad bill because there seem to be tax cuts, but also extended unemployment, spending, and infrastructure.

Oh well, it's something to read up on, at least.

[DashArmy]

Is it okay to say I'm legitimately scared? How will I live with such prices?

[11Trident11]

ok i can't see bread being $100 but i can see having to wait in enourmus lines like with soviot russia.

[ReshZek200]

no, no, no! this will NEVER happen, it will be solved, i`m sure of it. bread= not 100$

[Ultimazone]

If money had never been invented in the first place, the world could be much more improved today, and tons of trees could still exist. Money is stupid, I'm not into Daoism or anything, but what they believe is more helpful to live in a world of peace. And if we can live in a peaceful world where money doesn't exist, so be it. (This is probably going to get argued and disagreed with, but it's my honest opinion)

[ReshZek200]

Originally Posted by Ultimazone

If money had never been invented in the first place, the world could be much more improved today, and tons of trees could still exist. Money is stupid

Pffft...without money if we wanted something, we`d have to steal.... Without money trees would still be cut down for roads... Who really cares about trees anyway?

[Shadow]

Originally Posted by ReshZek200

Who really cares about trees anyway?

Oh I don't know. Maybe people who don't want to die?

[Quadcentruo]

Originally Posted by ReshZek200

Who really cares about trees anyway?

I like breathing thanks....

Also, I saw someone blamed Obama on the first page. It's not his fault that Congress wont pass anything he proposes. People are always blaming Obama for the faults, yet you should really be blaming the Congress for not passing anything.

Also, there's something else you need to keep in mind. The reason why the value of the dollar goes down is because of printing money and not having the gold to back that up. If USA did what Germany did back in the 1930's, then yea, we will have useless money. But I highly doubt we will steep that low, because it's very obvious that Congress has no intentions in paying the debt back, so they will most likely not print a crazy amount of money in an attempt to pay back the debt.

[ReshZek200]

Originally Posted by Quadcentruo

I like breathing thanks....

Also, I saw someone blamed Obama on the first page. It's not his fault that Congress wont pass anything he proposes. People are always blaming Obama for the faults, yet you should really be blaming the Congress for not passing anything.

Also, there's something else you need to keep in mind. The reason why the value of the dollar goes down is because of printing money and not having the gold to back that up. If USA did what Germany did back in the 1930's, then yea, we will have useless money. But I highly doubt we will steep that low, because it's very obvious that Congress has no intentions in paying the debt back, so they will most likely not print a crazy amount of money in an attempt to pay back the debt.

oh...