In the 1920’s, the combination of Germany’s defeat in World War I, and the impressed war reparations put upon them by the allied leaders, led the European power to enter a phase of hyper-inflation the world had rarely seen up until that time. And the economic devastation was so great, it not only led to the rise of a brutal dictator, but is also used today as an adjective to describe monetary systems that decline into a currency collapse.
But following World War II and the creation of a new global monetary system based on the dollar, central banks in the West were supposed to have the tools to never allow a Weimar event to ever occur again. But perhaps in the most ironic of circumstances, one European nation stands on the cusp of a return to Weimar like hyper-inflation, with one of the main culprits pushing them over the precipice being Germany.
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