Examples: Fiat Currency and Hyperinflation in Germany and Zimbabwe When a fiat currency is overprinted and becomes devalued rapidly as a result, residents often abandon it in favor of commodities ...

In 1914, the exchange rate of the German mark to the American dollar was about 4.2 to one. Nine years later, it was 4.2 trillion to one. The out-of-control inflation began somewhat mildly during ...

Excerpt from Paper Money by "Adam Smith," (George J.W. Goodman), pp. 57-62. Before World War I Germany was a prosperous country, with a gold-backed currency, expanding industry, and world ...

If the real exchange rate is 1, the burger would cost the same in the United States as in, say, Germany, when the price is expressed in a common currency. That would be the case if the Big Mac costs ...