Info
Warning
Danger

Occupational Health and Safety, Canadian Edition

15th Edition
by David L. Goetsch, University of West Florida and Oskaloosa-Walton Eugene Ozon, Algonquin College
1035 Solutions 49 Chapters 1471 Studied ISBN: 0133450244 Computer Science 5 (1)

Chapters 27: DQ 10

10. Explain how hyperinflation might lead to a severe decline in total output.


Step-By-Step Solution

10. Explain how hyperinflation might lead to a severe decline in total output.

Answer: With inflation running into the double, triple, quadruple, or even greater number of digits per year, it makes little sense to save. The only sensible thing to do with money is to spend it before its value is cut in half within a month, a week, or a day. This very fact of everyone trying to spend as fast as possible will speed the inflationary spiral and cause people to spend more and more time trying to figure out what goods are most likely to go up fastest in price. More and more people will turn away from productive activity, because wages and salaries are not keeping up with inflation. Instead, they will spend their time speculating, transferring goods already in existence and producing nothing.

Eventually, money may become worthless. No one will work for money. Barter and living by one’s wits become the only means of survival. Production falls for this reason and also because investment in productive capital practically ceases. Unemployment soars. A massive depression is at hand.


Unlimited Access

More than 10 Million Textbook Solutions, Q&A's, Flash Cards, Study Documents and much more for just
USD 3.95
Total: USD 3.95
*Please Enter the Email to Proceed
No obligation. Choose plans to save more.
Continue to Paypal
You will be charged USD 119.76 upfront and auto renewed at the end of each cycle. You may cancel anytime under Payment Settings. Learn more about our subscriptions.

FAQ's

Gingerbread cookie pastry halvah
Gingerbread cookie pastry halvah macaroon icing sugar plum. Tootsie roll cake chocolate. Gingerbread sugar plum chupa chups powder jelly-o oat cake cake chocolate bar. Cookie brownie chocolate. Brownie pastry bonbon lollipop sweet. Icing carrot cake sweet roll biscuit. Ice cream dragée powder.
Pastry gummies donut pastry
Gingerbread cookie pastry halvah macaroon icing sugar plum. Tootsie roll cake chocolate. Gingerbread sugar plum chupa chups powder jelly-o oat cake cake chocolate bar. Cookie brownie chocolate. Brownie pastry bonbon lollipop sweet. Icing carrot cake sweet roll biscuit. Ice cream dragée powder.
Cake gummi bears cheesecake
Gingerbread cookie pastry halvah macaroon icing sugar plum. Tootsie roll cake chocolate. Gingerbread sugar plum chupa chups powder jelly-o oat cake cake chocolate bar. Cookie brownie chocolate. Brownie pastry bonbon lollipop sweet. Icing carrot cake sweet roll biscuit. Ice cream dragée powder.
Brownie jelly-o pastry topping
Gingerbread cookie pastry halvah macaroon icing sugar plum. Tootsie roll cake chocolate. Gingerbread sugar plum chupa chups powder jelly-o oat cake cake chocolate bar. Cookie brownie chocolate. Brownie pastry bonbon lollipop sweet. Icing carrot cake sweet roll biscuit. Ice cream dragée powder.
Tootsie roll cake chocolate
Gingerbread cookie pastry halvah macaroon icing sugar plum. Tootsie roll cake chocolate. Gingerbread sugar plum chupa chups powder jelly-o oat cake cake chocolate bar. Cookie brownie chocolate. Brownie pastry bonbon lollipop sweet. Icing carrot cake sweet roll biscuit. Ice cream dragée powder.