Quote from: paxmao on October 24, 2021, 10:13:05 PM

Quote from: dkbit98 on October 24, 2021, 05:44:07 PM

I don't know about stagflation, that is also form of inflation, but you simply can't avoid hyperinflation when in just one year you print more than 40% of all US dollars that ever existed.
There is simply too much money in circulation now, and if you read the history you will see that German Weimar Republic did the similar mistake in 1921 and we should all know what happened after that.
They had a huge debt and they believed that winning a WWI would make them avoid paying that, they canceled the gold standard and printed a bunch of worthless paper.
So in reality when countries want to avoid paying big debt, they create war or other type of crisis and that makes me wonder about situation we have now in the world...

...
https://en.wikipedia.org/wiki/Hyperinflation_in_the_Weimar_Republic

Yep, a classic example is the Weimar Republic. While I agree on your general principle of the US not being able to withstand such an "attack" on its value, there is a greatly important difference with other currencies. USD is worldwide accepted in exchange for commodities, particularly gas and crude. The demand for USD is not only derived from its condition of legal tender in US, but backed up by goods all over the world making its demand much more elastic than other currencies.

That is true but that ability to export inflation can only go on for so long. All it takes is one big shock (Coronavirus), and right now we are seeing countries all over the world shift away from the dollar and other dollar-denominated assets. Yeah we have a huge military but it's definitely loosing steam (see Afghanistan). I don't know if you're from here but in the U.S. people just aren't really patriotic anymore. The country is demoralized and America as a whole will suffer greatly if we get locked in another forever war.

Commodities should always do well stagflation though that's true. I'm not a bitcoin maxi but I think bitcoin could do extremely well under similar circumstances.