Report Amass As Much Cash As You Can in House prices and the economy Posted November 12, 2011 I believe the QE we are seeing is paying for the inflation we have already had. Maybe they will be able to take it one step further when things stabilise, but its going to take a lot of time, and possibly a bit of deflation before people have a feel good factor again. Darling just off to get a pint of milk. http://www.dialoginternational.com/photos/uncategorized/2008/09/23/wheelbarrowmutilated.jpg Any student of German history knows that the hyper-inflation of 1923 was a traumatic experience for the German people. What started as a financial crisis ended as a tragedy that undermined the experiment in democracy of the Weimar Republic. At the end of WWI the Reichsmark was trading at 9:1 against the US dollar. By January of 1922 the ratio of marks to dollar was 192:1. By the time the Rentenmark was introduced in November 1923 the exchange rate was 4 four trillion marks to the dollar and the German middle class had been wiped out. The Weimar inflation was a period when Germans became impoverished while foreigners lived in luxury hotels for next to nothing. Children were begging on the street while women were forced into prostitution to feed themselves and their families - under barter arrangements of sex for food. Those living on fixed incomes and pensions, including over a million war widows. suffered greatly, while speculators took advantage of easy credit to amass assets and created new industrial empires. The social despair created by the hyper-inflation led many Germans - especially the disenfranchised Bourgeoisie - to renounce democracy and embrace extremist ideologies.