Replying to Avatar Huey

The other thing is that when the Fed was created the British Empire was in it's final throes as the dominamt world power, and the world was then upended by WW1. Revolutions were happening everywhere. Things were pretty wild until after WWII. It's hard to compare postwar America with its previous self.
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Pleb⚡ 2y ago

Yea maybe it's because fed creation in 1913 and soon after is WW1 in 1914

So perhaps inflation went up like crazy during WW1

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Huey 2y ago

Yes I think that's the big influence in the era, culminating in the hyperinflation in Germany in 1922. I think the implication of the chart you posted that the Fed is directly responsible for all devaluation of the dollar is quite disingenuous--the two big policy changes regarding gold in 1933 and 1971 are more direct causes.

If you haven't seen it yet, this is a great site: https://wtfhappenedin1971.com/

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Pleb⚡ 2y ago

Thanks Huey