👨‍🎓 Understanding hyperinflation - lessons from history

**10/52** Macro Mornings Education

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👨‍🎓 This is part of a 52-week series on macroeconomics designed to build your knowledge step by step. Feel free to catch up on previous emails here if you'd like to start from the beginning!

Dear all,

In our previous discussions, we’ve covered the general concept of inflation and how it affects your savings and investments.

Today, we’re going to delve into a more extreme scenario - hyperinflation.

Hyperinflation is a situation where prices rise at an extraordinarily high rate, often exceeding 50% per month.

While hyperinflation is rare, understanding it is important because it can have devastating effects on an economy and its citizens.

Let’s look at a few historical examples and the lessons we can learn from them:

Germany’s Weimar Republic (1921-1923)

After World War I, Germany faced severe economic problems, leading to hyperinflation.

The government printed massive amounts of money to pay off war reparations and other debts.

As a result, the value o…