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CEFR C1 — Advanced

Hyperinflation

Definition

(economics, formal) A very high and rapid inflation in an economy, where prices of goods and services increase extremely quickly, often causing a severe devaluation of the currency and a breakdown in the economy.

Example Sentences

1The country experienced a period of hyperinflation in the 1990s, which led to widespread poverty and economic instability.
2What are the warning signs of hyperinflation, and how can governments prevent it from happening?
3The economic crisis was exacerbated by hyperinflation, which reduced the purchasing power of the average citizen to almost nothing.
4Hyperinflation can have devastating effects on a country's economy, including reduced investment, lower productivity, and increased inequality.
5Some economists argue that hyperinflation is often the result of a combination of factors, including monetary policy mistakes, supply chain disruptions, and external economic shocks.

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