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By not printing more money which is the primary cause, stabilizing the economy, de-tendering older money and creating new money that can be exchanged at a large ratio... for instance, 1 Reichsmark for 1,000,000,000 Papiermarks.

Of course, now that "western" countries do so much of their financial transactions electronically and with credit, the printing of actual money is less directly related to inflation and the concept is more commonly used as a metaphor for the increase of the money supply thorough other mechanisms, some of which are not as directly controlled by the government as is the printing press.

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16y ago

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Related Questions

When the German government increased the quantity of money in the German economy in the 1920s?

government experienced hyperinflation


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No they were not it led to years of hyperinflation which eventually led to the rise of Adolf Hitler


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They had an unstable government and massive hyperinflation.


How could the weimar government have solved Hyperinflation?

In fact, the inflation was stopped and the currency stabilized in 1923-24. It involved massive deflation and was successful.


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In order to finance a war, the government prints a great deal of money without gold to back it up. This will eventually lead to hyperinflation.


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Most reverse mortgages today are government insured reverse mortgages. This simply means its an FHA loan. The FHA HECM program insures the loan to the lenders, provided they follow FHA's guidelines for doing reverse mortgages.


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Partially. However, it was caused by other significant factors such as the treaty of Versailles and the government not being able to afford to pay the repetitions. Which in turn meant they printed more marks, this reducing the value of the money itself. Thus, beginning hyperinflation.


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