Question

Explain 'Hyper Inflation'

Answer 1

Ok first its hyperinflation and second In economics, hyperinflation is very high and typically accelerating inflation. It quickly erodes the real value of the local currency, as the prices of all goods increase. This causes people to minimize their holdings in that currency as they usually switch to more stable foreign currencies, often the US Dollar.

Answer 2

Answer:

In economics, hyper inflation is a very high and typically accelerating inflation. It quickly erodes the real value of the local currency, as the prices of all goods increase. This causes people to minimize their holding in that currency as they usually switch to more stable foreign currencies, often the US Dollar.

Hyper inflation is often associated with the some stress to the government budget, such as wars.

...........

I hope it helpful