Shadowstats' John Williams: Prepare For The Hyperinflationary Great Depression

The U.S. economic and systemic solvency crises of the last two years are just precursors to a Great Collapse: a hyperinflationary great depression. Such will reflect a complete collapse in the purchasing power of the U.S. dollar, a collapse in the normal stream of U.S. commercial and economic activity, a collapse in the U.S. financial system as we know it, and a likely realignment of the U.S. political environment. The current U.S. financial markets, financial system and economy remain highly unstable and vulnerable to unexpected shocks. The Federal Reserve is dedicated to preventing deflation, to debasing the U.S. dollar. The results of those efforts are being seen in tentative selling pressures against the U.S. currency and in the rallying price of gold.

For those that believe all depressions begin with deflation, I suggest reading John Williams new article on hyperinflationary depressions. They are not incompatible as many think. History is littered with examples of hyperinflationary depressions. They are all currency related events.

Source: http://www.zerohedge.com/article/shadowstats-john-williams-prepare-hyperinflationary-great-depression