weimar comparison to the U.S. (good video here)

[Large Sarge]

http://www.youtube.com/watch?v=doruf7lMrwA

[SWRichmond]

very interesting perspective, thanks for posting

[General of Darkness]

Very interesting, but I think the guberment would call for a state of emergency and then freeze prices. Assuming they could and more importantly, would. Just my 2 cents.

[Hatha Sunahara]

The past is interesting, but it may not be a guide for our future. Insanity is a unique condition. No two cases of insanity are alike. We may see a crime wave during our hyperinflation. Also, we may see a whole lot of measures to counteract inflation--such as community currencies and 'computer assisted bartering'. Germany did not have an internet or computers when they had their hyperinflation. Germans also were very respectful of authority. We may see what little of that we have here break down as money pressures drive people to desperation.

This is an interesting video, but maybe not a solid guide to what will happen. We need to be flexible.


Hatha

[Plastic]

Also Hatha the data presented may very well be flawed regarding the decline in the purchasing power of gold and silver. Sure, the extra purchasing power would have brought out the gold and silver stashes that people had since at that time it was in circulation and it could very easily had dropped the value. Today however, almost nobody has gold and silver tucked away in their piggy banks, even in small amounts, so the purchasing power could and should remain very high.

I have a feeling things will be very different this time around.

[Large Sarge]

I like the analogy "history rhymes, it does not repeat"

anyway I think this guy sold the silver story short.

silver is going to mars for a brief pause on it way to pluto (with or without hyperinflation)

;D

[DualCarbon]

Good video. So, what would have been (or be) the most optimal thing to do with silver in the Weimar hyperinflation? It sounds like it's buy gasoline when a silver dollar buys 200+ gallons. It would have been in at about 6 months into the hyperinflation, and earlier or later would have a silver dollar buy a lot less. Do you think this is an accurate model?

[madfranks]

So, what would have been (or be) the most optimal thing to do with silver in the Weimar hyperinflation?


Use your PMs to bribe your way out of the country.

[G2Rad]

compare to Africa

our prez ain't no german

[Neuro]

The thing is, it was only the last 2 months of the German hyperinflation, where gold and silver significantly lost it's purchasing power. Good idea to keep SOME food and necessities around... But a humongous amount shouldn't be necessary, not for this reason though, unless you plan on doing some trading, but that could be dangerous, trading food around starving people, probably healthier to try and stay the hell out...

[Mouse]

The numbers can be rubbed any which way. The OP is highly unlikely. You cannot work tech or fundies in the current market. We are not in some tech or fundamental situation. We are in spaces where we have never been.

[SilverMagnet]

Weimar Hyperinflation expressed in German Marks needed to purchase ag/au

Jan. 1919
Silver 12
Gold 170

May. 1919
Silver 17
Gold 267

Sept. 1919
Silver 31
Gold 499

Jan. 1920
Silver 84
Gold 1,340

May 1920
Silver 60
Gold 966

Sept. 1921
Silver 80
Gold 2,175

Jan. 1922
Silver 249
Gold 3,976

May. 1922
Silver 375
Gold 6,012

Sept. 1922
Silver 1899
Gold 30,381

Jan. 1923
Silver 23,277
Gold 372,447

May. 1923
Silver 44,397
Gold 710,355

June 5, 1923
Silver 80,953
Gold 1,295,256

July 3, 1923
Silver 207,239
Gold 3,315,831

Aug. 7, 1923
Silver 4,273,874
Gold 68,382,000

Sept. 4, 1923
Silver 16,839,937
Gold 269,429,000

Oct. 2, 1923
Silver 414,484,000
Gold 6,631,749,000

Oct. 9, 1923
Silver 1,554,309,000
Gold 24,868,950,000

Oct. 16, 1923
Silver 5,319,567,000
Gold 84,969,072,000

Oct. 23, 1923
Silver 7,253,460,000
Gold 1,160,552,662,000

Oct. 30, 1923
Silver 8,419,200,000
Gold 1,347,070,000,000

Nov. 5, 1923
Silver 54,375,000,000
Gold 8,700,000,000,000

Nov. 13, 1923
Silver 108,750,000,000
Gold 17,400,000,000,000

Nov. 30, 1923
Silver 543,750,000,000
Gold 87,000,000,000,000

[Neuro]

From October 23rd 1923, an extra zero, to much, is added to the price of gold. Prior to this the G/S ratio is constantly around 16/1, after about 160/1... So at the end of Weimar republic hyperinflation an ounce of gold was only worth 8.7 Trillion Marks, not 87 Trillion...

Just wanted to point this out...

Yeah, I am a nitpicker! ;D