Finance
What is Hyperinflation?
Hyperinflation is extremely rapid, out-of-control price inflation — often more than 50% per month. Money loses value so fast that prices can change within hours, savings become worthless, and people rush to spend cash before it depreciates.
See it, don’t just read it.
Watch a 2-minute lesson with voice + animation that explains hyperinflation.
Key things to understand
- 1It's runaway inflation, often exceeding 50% a month.
- 2Money loses value extraordinarily fast.
- 3Prices can change multiple times a day.
- 4It often stems from printing too much money.
Frequently asked questions
- What causes hyperinflation?
- Usually a government printing huge amounts of money, often amid crisis, collapsing confidence in the currency.
- How is hyperinflation different from normal inflation?
- Normal inflation is a few percent a year; hyperinflation can exceed 50% a month, spiraling out of control.
- What are examples of hyperinflation?
- Weimar Germany in the 1920s and Zimbabwe in the 2000s are famous cases.