this post was submitted on 08 Feb 2025
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[–] [email protected] 3 points 2 days ago

Both Weimar and Zimbabwe, and all other examples of hyperinflationary economies (many Latin American countries come to mind), had large debts denominated in foreign currencies, or had fixed exchange rates with such. This makes the government depenent on aquireing these forein currencies which they themselves cannot issue. Printing your own currency to pay these debts is definately inflationary, but doing so to pay for goods priced in your own domestic currency, when there is excess productive capacity, is not.