unarmedman wrote:big_dave, you really need to get in the game here. I have yet to see you debunk anything, unless you see your smarmy one-liners like above as evidence enough.
You're right. Weimar marks weren't anything like the current dollar, so there is barely anything to debunk at all. Not only were they an exceptionally short-time product, but there were several incarnations.
Saying that Weimar inflation happened, so it can happen anywhere is one thing. Because it is sort of right, in a very wooly way. Giving it as evidence for the inevitable Weimar-style collapse of any non-Gold currency is knowingly facile.
Currency devaluation is exponential.
Exponential isn't an either/or deal. Something could be exponential with a large gradiant, or with a small gradiant.
Not everything exponential is exponential at the same rate.
It has nothing to do with time, and everything to do with balance.
It has everything to do with time, unless a specific disaster occurs, in which case the hyperinflation would be the product of that disaster and not of anything intrinsic to the currency itself.
Here is where I start to agree (briefly) with Ron Paul and his ilk, whether or not a currency is desirable or successful would in many ways depend on its ability to survive and protect the economy from hypothetical disasters like this.
So, unless you can predict a Weimar-style disaster such as someone replacing the dollar another currency that isn't backed by production, labour or government spending, or a general strike halting all the production in the USA - something possible in Weimar but impossible in the United States due to size, the Weimar economic collapse stops being a useful analogy for American inflation.
Once the market is over-flooded, and the dollar is abandoned overseas, this economy will be forced into a recession. With each day, the ramifications of that recession become worse.
Unless the dollar is flexible, business well regulated and the people in charge are rational. There is no reason for the USA not to overcome any economic obstacle thrown at it.