James Turk : Hyperinflation the Banking system and fiat currencies

James Turk explains how Hyperinflation occurs the difference between the paper currency hyperinflation and the deposit currency hyperinflation..., the Banking system and fiat currencies



James Turk :...Hyperinflation manifests itself in two different ways , and the way it manifests itself depends on the nature of the banking system in the country where the hyperinflation occurs , so for example , we all know the pictures of the Weimar Republic in the 1920s and people moving wheel barrels full of paper currency around or we have seen similar thing just happened recently in Zimbabwe or 15 years ago we seen the same thing in Yugoslavia in those economies the banking system was not sophisticated very few people had bank accounts and commerce was conducted by moving paper from hand to hand in other words it's paper currency , ..that's what I call a paper currency hyperinflation and it occurs because there is a very unsophisticated banking system very few people had bank accounts and most commerce is conducted by actually moving paper currency around to complete the transaction ...