iShares Silver Trust (SLV)

[TopHat]

SS00, you wrote:


3. Hyperinflation. Only way hyperinflation will occur is if the government spontaneously spends another several trillion. If the credit bubble pops again there is no possible scientific case for hyperinflation. It is important to note that hyperinflation has only historically occurred when the global economy was strong in relation to that particular country's economy. (True for Zimbabwe, Weimar, Hungary, and even way back with the French.)


Really doubt you understand real hyperinflation and its beginnings. I've been behind the Iron Curtain and watched it first hand. I have had to pay double the same day as people lost faith in the currency.

It occurs partially because of the above (the debt), but mostly when a nation, or the people lose faith in the currency.

In the case of the US, it can and will happen w/o us spending another trillion. It will happen when the world, and or enough of the citizens lose faith in the currency and move to another. It will happen when no one else will buy the bonds. It will happen when they have to print as a response to the loss of faith, not print for printing sake. It is the loss of faith that is the spark for hyperinflation, not really the debt itself. (Though we both would agree that the debt - the printing of $ is a front issue).

I would argue that it occurs when the loss of faith happens, not the amount of debt.