' Wrote:That inflation rate is very bad but not catastrophic. It's below hyperinflation, at least. It's the sort of thing that would need a major financial shakeup in Rheinland within some years, but not the months/handful of years of crazy inflation times. With Rheinland's v nationalised economy, it wouldn't be truly so awful. It happens irl, people get over it. Russia, I don't know about right now, but it used to have inflation rates in that general realm. But the people on the street just use US dollars (Liberty coin, natch), and the economy keeps growing and it's all fine.
Five percent a week is not catastrophic. It's unheard of for any country still able to function.
In twenty weeks one's savings would be halved. In fourty weeks, quartered. Not to mention the effect this would have on debts owed to banks, who would quickly find themselves insolvent, or on the interest rates any sane company would charge.
Every real-world example of hyperinflation inevitably ends in the complete collapse of the government presiding over.
End of story.
p.s except in certain cases with fledgling governments that then get subsumed into a reform/new government by the same people.
gone four years, first day back: Zoners still getting shot in Theta :|