I think the government will lack the political will to stop the printing presses and have already printed enough and commited enough to cause hyperinflation in normal times.

Of course these are not normal times and serious deflation has taken place in the housing market and the over production of housing and cars is a major contributor to them dropping in price despite the reduction in value of US currency.

Supply and demand says they continue the currency will continue to devalue as more paper is printed by a government who lacks the means to raise revenue or cut spending without serious revolution by the people.

IMO they have already jumped off the cliff through the massive debt accumulated increase in deficits relatively high tax rates for those who actually make money but have been insulated from their wanton recklessness by having the reserve currency of the world.

As that continues, the shift towards gold and perhaps a new international currency, hyperinflation is inevitable. Deflation helps those who have acted responsibly the recent levels of interest rates is indicative of the desire to keep people from saving, encourage reckless investing and reduce inventories of bloated corporations. Inflation hides a lot of sins and early on will provide the appearnce of growth and it is easier to mask poor policy making.

Nonetheless I do not see any real change in people or governments behaviour until the fit hits the shan. At which point there will be bargains galore on luxury items.

orgy