Friday, 25 September 2009

Zimbabwe economics............from Rico

I guess it does little good now to 'wonder' what happened to holders of Rhodesian bonds after Mugabe 'transformed' the country into Zimbabwe. It's likely similar to the treatment the farmers there have been getting ever since...and it continues to this day.

Most sentient beings (excepting the socialists and progressives, of course) know what has happened to the inflation rate and the value (chortle...TP is more valuable now than the Z$) in ZimBobwe since they ran amok printing their own money. Fiat currency, mind you.

Now take a look at what has happened inflation-wise since the US de-linked to gold and started printing money only backed by "the full faith and credit" of the USG. This, too, has been a fiat currency since then.

Last, consider the future impact of the US running its money-printing machinery non stop and at full speed.

Not good.

ps - Weimar, Argentina, wheelbarrows instead of wallets.

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