Tidbits, Q&A: Hyperinflation, Natural Gas, FOB 6/22/26
- Wright team
- 9 hours ago
- 5 min read
Tidbits
The Corn Belt weather a week from now is going to be hot and wet.
Iran: President Trump threatened to restart war with Iran on Sunday even as Vice President JD Vance met Iranian officials for the first talks under an interim peace deal that was overshadowed by Tehran's announcement it had again closed the Strait of Hormuz.
Q&A: Inflation
Hyperinflation: Gilbert asked when will we see hyperinflation?
Economists follow Philip Cagan's classic definition of hyperinflation is monthly inflation rates exceeding 50%. It involves prices doubling (or more) in a matter of a few weeks; often requires a complete loss of confidence in the money and institutions. Historical examples include Weimar Germany (early 1920s), Zimbabwe (2000s), and Venezuela (2010s).
Iran’s inflation rate for the 12 months ending in May was 77.2% according to the International Monetary Fund. In 1979, the U.S. annual inflation rate was 13.9%; adults sure thought it was hyper-inflation. Likewise, it felt like hyperinflation in the days after the 2020 COVID ordeal.
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