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Comment by vkou | Hacker News Reader

And yet, if every investment (including cash, because there is a near-certainty of the government turning to inflation to solve all these problems) is crashing, then isn't it the case that nothing is crashing?

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The stock market isn't money - it is a very very valuable thing in the US economy, but as long as food prices aren't being slashed to keep demand up (and various governments have had to act aggressively to keep down price exploitation) then we aren't looking at deflation - it's just the stock market, and, honestly, the market can fix itself whenever it pleases - it has an almost negligible impact on the lives of nearly everyone, only those with a lot to spare have significant skin in the game.

But if financial assets are crashing in cash-terms, and cash itself is crashing in purchasing-power terms, financial assets are extra crashing.

Its hard to say that the USD is crashing, it seems to actually be too strong at the moment with everyone running towards it from other currencies https://www.tradingview.com/x/seCzFWI8/

It’s strength relative to other currencies is one thing, but if everyone is QEing at the same time, the dollar could still be weakening in absolute terms.

Again, I am very surprised that people would down-vote this. The post articulates the core idea behind Arrow-Debreu securities, and taking the question seriously could yield some very interesting discussion about prices.

https://en.wikipedia.org/wiki/State_prices

I wonder - it seems like a hyperinflation spiral would actually benefit people who had, say, 30-year mortgages (not that I want that to happen).

Unless we print quadrillions and quintillions of dollars, we are not going to see hyperinflation.

Nobody is actually planning on printing quadrillions and quintillions of dollars, so hyperinflation is a moot point.

Time to make it rain.

Hyperinflation benefits no one - any slight advantage you might see out of it (like a large liability) is going to be entirely washed out by the absolute chaos your economy will be in - if there is rioting in the streets you might be able to forget about your mortgage, but your house might also be looted.

My investment in 100 pallets of toilet paper isn't crashing

Bad investment. For this kind of money you'd buy a japanese bidet, with buttons all in japanese, so that you are constantly entertained.

As an aside, hooking a hand bidet up to my water line beside the toilet has taught me how extremely cold cold water can be.

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