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Not long ago the Southern African nation of Zimbabwe experienced what economists called hyperinflation. Its currency rapidly lost buying power and plunged in value internationally. At the height of the hyerperinflation on 31 July 2008, the exchange rates were 1 United States dollar for 18,681,527,512 Zimbabwean dollar. The next day, 1 USD was trading for ...


An "overnight" change in the value of a currency is a devaluation, not a depreciation. Probably the biggest overnight devaluation ever was the January 31, 1934, devaluation of the dollar from $20 per ounce to $35 per ounce, a 40% devaluation. The money supply was about $8 billion plus at least another $12 billion in gold-backed bonds. So, perhaps the total ...

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