I have also heard stories of those who came out very well because of hyperinflation. Those stories seemed to focus on people who bought real estate using large mortgages which was wiped out by hyperinflation. Essentially, they got the property for just the down payment. One was a South American deciding to pay off his mortgage after a period of hyperinflation because the stamp every month was more expensive than the mortgage payment was.
4 posted on
06/30/2009 7:14:49 AM PDT by
KarlInOhio
(Fannie Mae, Freddie Mac, AIG, Chrysler and GM are what Marx meant by the means of production.)
Those stories seemed to focus on people who bought real estate using large mortgages which was wiped out by hyperinflation. Essentially, they got the property for just the down payment.My dad told me of city sharpers going out into the farmlands and offering ridiculous (to the farmers) prices for their farms. Weeks later, the "rich" farmers couldn't even buy a cow with the money.
One was a South American deciding to pay off his mortgage after a period of hyperinflation because the stamp every month was more expensive than the mortgage payment was.
I read that when people died and the insurance money arrived, it wouldn't buy the stamp that was on the envelope the payment came in.
I can remember in the '70s when some restaurants that were not posh, handing out menues with blank prices - you had to ask the waiter how much. That really hit me as I had just read about them doing that in the Weimar days. While I'm still of the idea that we'll be hit with a surprise Depression (since everyone is expecting inflation), it would be prudent to search on the Weimar inflation and glean the reports for ideas you may be able to use in the near future.