Reply To: Hyper-Inflation


Very nice to see some systematic comparison of hyperinflation numerics. What I’ve seen elsewhere is a sort of total inflation estimates, the ratio between monetary unit’s value before and after hyperinflation. Here they show the dates when a hyperinflation began and when it ended, and they know which particular month is was the largest, so they have all other months to compare. One assumes they could have come up with such estimates of the total before-vs-after too. Of course if a money actually died, that ratio goes to infinity (division with zero).

What I mean – some hyperinflations were slower but lasted longer, so… what would be a “total effect estimate”?

Also, I’ll be more reticent about hyperinflation numbers if a country if stuck in a war, especially civil war, like Bosnia/Republika Srpska were. In such episodes, government might be but a ghost with its money only locally applicable (if at all), with “the government” actually meaning nothing more then a few opposing seeds of future governments caught in existential power struggle, evolving from local military formations. Everything seems a bunch of singular events, as opposed to something continuous, smooth and analytical.

It is quite different, I guess, then a situation where one has a “clean” hyperinflation, with the state structure (and it’s monopoly on money) largely defined and unbroken throughout.