Wednesday, January 15, 2014

2014 US Hyperinflation

By Noah Lyons

“You are going to see, early on, a crisis in the dollar that will start to trigger the inflation . . . as the inflation picks up, that’s going to savage the economy, which is already in a depression. It never recovered.” –John Williams

As a turn of the year came so came a change in the inflation rates, the inflation rates are supposedly intended to skyrocket this year. The big question people are asking is when will the dollar take a hit in value? America is dependent on the rest of the world going along with us and supporting the dollar. But America also knows that it’s not going to happen. John Williams says “It’s really going to be a currency panic . . . when the fundamental selling pressure really starts to pick up, when the selling gets heavy . . . in turn, the weakness will be seen in a spike in oil prices and a spike in gasoline prices.”

Ever since 2008 The United States has been in an economic decline, although many years have passed still people haven’t recovered. Housing prices were at their peak early in 2006, but started to rapidly decline later in 2006 and through 2007 and reached an all time low in 2012. The Case-Shiller home price index had its lowest price drop in history. The much smaller availability of loans was what Economists considered the cause of the Recession. What this means for us is that, the price paid for houses was lower than it was before. Typically a house would be a good investment because in most cases you could sell it for more than it was paid for, however this wasn’t the case during this time.

Even on top of that, add the 2014 Hyperinflation which is going to cause America to dig themselves deeper into the giant hole we’re already stuck in.  America’s economy has placed itself on a rollercoaster with many ups and downs. The roller coaster was going up for a long time until we hit 2000 and went into our first Recession, things started to get better and boom another recession in 2006/2007. The economy has gotten no better and now, in 2014 economists say there will be a Hyperinflation. Economist John Williams says that the dollar won’t even have the same value it did a few years ago. He says it’s just a matter of time before the Feds money printing will trigger a sell-off and cause the Hyperinflation. Economic expert John Williams has a great video on how hyperinflation will arise.


Overall, the economy has been in a crisis since 2008 when the US went through the “Great Recession,” however now include the hyperinflation of 2014, the economy has never been in a weaker point since the turn of the century. There is talk that the feds plan to increase money printing, and that will cause a sell-off and that is going to put America through a Hyperinflation. The treasury is going to have funding issues and that will cause the deficit to get much worse.



"Causes of the Great Recession."Wikipedia. Wikimedia Foundation, 23 Nov. 2012. Web. 14 Jan. 2014. <http://en.wikipedia.org/wiki/Causes_of_the_Great_Recession/>.

1 comment:

  1. Inflation is something which cannot be stopped with a capitalist nation. Noah, you also mention how our nation is like that of a roller coaster and that the impending doom of 2014 hyperinflation will be the end of our nation; needless to say you couldn't be anymore wrong. Our nation has the power and assets to pay off all its' debt, we simply don't want to.

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