jepittman

Focusing on Commodity ETFs: Hyperinflation Seems Inevitable

Hyperinflation is no more inevitable than deflation. Both are conditions determined by the supply of money which is controlled by the Federal Reserve. There have always been cycles of inflation an deflation but prolonged destructive hyperinflation or deflation are caused by protracted errors in monetary policy. Many believe such is happening now but the evidence is that the Fed is increasing the money supply to offset declining prices. As prices stabilize and begin to rise again the Fed should act to reduce the money supply. The hyperinflation you seem to forsee depends on a negligent monetary policy. That is not inevitable although it could happen.