Food, Fuel, and Inflation - Canada and the First World War
But inflation did not come down after World War II
The civil war exhibited one of the classic hyperinflations of history with confederate notes becoming worthless by the end of the war. But interestingly inflation was not a straight line to infinity. Confederate notes provided an excellent lesson in how money supply affects currency value.
Ukraine's Double Woes: War And Runaway Inflation : NPR
The Chart below shows the Annualized Confederate Inflation Rate. The Annual Inflation Rates are calculated from information provided by the Richmond Civil War Centennial Committee on the.
1 War affects a country's economy
The survivors of the German debacle did so, as shown in the preceding chart, by purchasing gold early in the process. As a citizen and an investor, the best you can do is prepare, and then hope that it doesn't happen here. This report of Germany's hyperinflation, originally published in 1970 by Scientific Market Analysis, could play an important part in your preparation process. There is little doubt it will affect your thinking.
Central banks attempt to limit inflation, and avoid deflation, ..
Finally, inflation seemed to bring prosperity. In 1921, when the rest of the world was in a severe post-war recession, production indices in Germany rose sharply. Late in 1921 the mark stabilized temporarily, and business promptly weakened. By early 1922 the mark was sliding again, and business immediately revived. People were buying goods as fast as they obtained money; companies rushed to expand plants and turn money into fixed investment. Germany was actually envied for its "prosperity" by many foreigners.