Best of the Week
Most Popular
1. Dollargeddon - Gold Price to Soar Above $6,000 - P_Radomski_CFA
2.Is Gold Price On Verge Of A Bottom, See For Yourself - Chris_Vermeulen
3.Dow Stock Market Trend Forecast 2018 - Nadeem_Walayat
4.Gold Price to Plunge Below $1000 - Key Factors for Gold & Silver Investors - P_Radomski_CFA
5.Why The Uranium Price Must Go Up - Richard_Mills
6.Dow Stock Market Trend Forecast 2018 - Video - Nadeem_Walayat
7.Jim Rogers on Gold, Silver, Bitcoin and Blockchain’s “Spectacular Future” - GoldCore
8.More Signs That the Stock Market Will Rally Until 2019 - Troy_Bombardia
9.It's Time for A New Economic Strategy in Turkey - Steve_H_Hanke
10.Fiat Currency Inflation, And Collapse Insurance - Raymond_Matison
Last 7 days
Golden Sunsets in the Land of U.S. Dollar Hegemony - 20th Sep 18
5 Things to Keep in Mind When Buying a Luxury Car in Dubai - 20th Sep 18
Gold Price Seasonal Trend Analysis - Video - 20th Sep 18
The Stealth Reason Why the Stock Market Keeps On Rising - 20th Sep 18
Sheffield School Applications Crisis Eased by New Secondary Schools Places - 20th Sep 18
Precious Metals Sector: It’s 2013 All Over Again - 19th Sep 18
US Dollar Head & Shoulders Triggered. What's Next? - 19th Sep 18
Prepare for the Stock Market’s Volatility to Increase - 19th Sep 18
The Beginning of the End of the Dollar - 19th Sep 18
Land Rover Discovery Sport 'Approved Used' Bad Paint Job - Inchcape Chester - 19th Sep 18
Are Technology and FANG Stocks Bottoming? - 18th Sep 18
Predictive Trading Model Suggests Falling Stock Prices During US Elections - 18th Sep 18
Lehman Brothers Financial Collapse - Ten Years Later - 18th Sep 18
Financial Crisis Markets Reality Check Now in Progress - 18th Sep 18
Gold’s Ultimate Confirmation - 18th Sep 18
Omanization: a 20-year Process to Fight Volatile Oil Prices  - 18th Sep 18
Sheffield Best Secondary Schools Rankings and Trend Trajectory for Applications 2018 - 18th Sep 18
Gold / US Dollar Inverse Correlation - 17th Sep 18
The Apple Story - Trump Tariffs Penalize US Multinationals - 17th Sep 18
Wall Street Created Financial Crash Catastrophe Ten Years Later - 17th Sep 18
Trade Wars Are Going To Crash This Stock Market - 17th Sep 18
Why Is Apple Giving This Tiny Stock A $900 Million Opportunity? - 17th Sep 18
Financial Markets Macro/Micro View: Waves and Cycles - 17th Sep 18
Stock Market Bulls Prevail – for Now! - 17th Sep 18
GBPUSD Set to Explode Higher - 17th Sep 18
The China Threat - Global Crisis Hot Spots & Pressure Points - 17th Sep 18 - Jim_Willie_CB
Silver's Relationship with Gold Reaching Historical Extremes - 16th Sep 18
Emerging Markets to Follow and Those to Avoid - 16th Sep 18
Investing - Look at the Facts to Find the Truth - 16th Sep 18
Gold Stocks Forced Capitulation - 15th Sep 18
Hindenburg Omen & Consumer Confidence: More Signs of Stock Market Trouble in 2019 - 15th Sep 18
Trading The Global Future - Bad Consequences - 15th Sep 18
Central Banks Have Gone Rogue, Putting Us All at Risk - 15th Sep 18
Gold Price Seasonal Trend Analysis - 14th Sep 18
Growing Number of Small Businesses Opening – and Closing – In the UK - 14th Sep 18
Gold Price Trend Analysis - Video - 14th Sep 18
Esports Is Exploding—Here’s 3 Best Stocks to Profit From - 13th Sep 18
The Four Steel Men Behind Trump’s Trade War - 13th Sep 18
How Trump Tariffs Could Double America’s Trade Losses - 13th Sep 18
Next Financial Crisis Is Already Here! John Lewis 99% Profits CRASH - Retail Sector Collapse - 13th Sep 18
Trading Cryptocurrencies: To Win, You Must Know Where You're Wrong - 13th Sep 18
Gold, Silver, and USD Index - Three Important “Nothings” - 13th Sep 18
Precious Metals Sector On a Long-term SELL Signal - 13th Sep 18
Does Gambling Regulation Work - A Case Study - 13th Sep 18
The Ritual Burial of the US Constitution - 12th Sep 18
Stock Market Final Probe Higher ... Then the PANIC! - 12th Sep 18
Gold Nuggets And Silver Bullets - 12th Sep 18
Bitcoin Trading - SEC Strikes Again - 12th Sep 18

Market Oracle FREE Newsletter

Trading Any Market

South Africa To Copy Zimbabwe Model To Hyperinflation‘Prosperity’

Economics / HyperInflation Mar 16, 2018 - 10:28 AM GMT

By: Jeff_Berwick

Economics

Doesn’t South Africa have the internet yet?  Or, even books?

The new South African finance minister, Nhlanhla Nene, has just come out with an amazing plan to help the people!  He will devalue their money into worthlessness! This always works out well. 


Nhlanhla has proposed an “ingenious” new plan to help the country's impoverished black population: print money and hand it out to people.

The minister declared:

South Africans are continuing to be poor when we can print more money to ensure that everybody has it. Our people are poor because there is a shortage of money in the country.

It’s not the shortage of jobs that makes people poor, it is the shortage of money. We have paper and ink, so we will print more money and give it to the poor, and make all of them billionaires if that is possible.

es, make them billionaires.  There were countless trillionaires in Zimbabwe, even quadrillionaires… but it turns out that “trill-life” isn’t all it’s cracked up to be, as many were left eating bugs in torn up t-shirts.

But let's go ahead and break down just how ridiculous the minister's plan is.

His main fallacy: “Our people are poor because there is a shortage of money in the country.”

No, money is just a signal, or representation of value, which leads to his second fallacy, “It's not the shortage of jobs that makes people poor, it is the shortage of money.”

Really? How does anyone anywhere ever make money to begin with? By working a damn job!

If instant riches was as easy as printing money, then why not make everyone on Earth a trillionaire by printing up more money?  Because that’s moronic, that’s why.

Unfortunately, the South African finance minister seems incapable of learning from his nation's neighbor. Or from any other hyperinflation in history.  

If Nhlanhla doesn’t even realize he's making the same mistakes as Zimbabwe, which is right next door and happened a few years ago, then the Republic of “Weimar” probably just sounds like “wiener” in German to him. Which he probably likes.

But, way back in the 1920s in Germany, they proclaimed the exact same thing. “There isn’t enough money!”

They fixed that “problem” within just a few years and German girls became prostitutes to the world in a bid to survive.

Meanwhile, in more recent times, the situation in Zimbabwe has become so bad that the price of bitcoin recently surged there, trading at nearly double the international rate.

The reason? Rampant hyperinflation left the country with essentially no currency, forcing the government to adopt the US dollar and South African rand.

Border patrol in South Africa was even put on “red alert” because so many Zimbabweans were fleeing their own nation.

Apparently, Nhlanhla or whatever his name is, never even heard about it.

Which begs the question we always ask of central bankers… are they really THIS stupid or are they acting on purpose to destroy the country, put in stricter controls, impoverish the people and keep their place at the top of the food chain?

It’s hard to imagine even this Nhlanhla guy could be this dumb.  He’d have to be living in a bubble to not even notice what's been going on in his own country due to Zimbabwe’s hyperinflation.

Luckily, it doesn’t really matter if they are stupid or evil… or both. They are probably both. We now have access to non-central bank currencies like bitcoin and others.  And, I advise everyone in South Africa to run, not walk, to trade in what is remaining of the South African rand for precious metals and cryptos before Nhlanhla completely obliterates it.

And, if you want more information on how to do so, make sure to check out The Dollar Vigilante’s newsletter (HERE) where our subscribers gained a 2,192% return in cryptos in 2017!

Or, you can listen to Nhlanhla and become a South African rand “billionaire” and see how that works out for you.

Anarcho-Capitalist.  Libertarian.  Freedom fighter against mankind’s two biggest enemies, the State and the Central Banks.  Jeff Berwick is the founder of The Dollar Vigilante, CEO of TDV Media & Services and host of the popular video podcast, Anarchast.  Jeff is a prominent speaker at many of the world’s freedom, investment and gold conferences as well as regularly in the media.

© 2018 Copyright Jeff Berwick - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

Jeff Berwick Archive

© 2005-2018 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules