Twitter CEO Jack Dorsey: ‘Hyperinflation’ Will ‘Change Everything’
Twitter and Square CEO Jack Dorsey tweeted a warning Friday (Oct. 22) about the coming of hyperinflation in the U.S. and the rest of the world, CNBC reported.
“Hyperinflation is going to change everything,” Dorsey tweeted. “It’s happening.”
Hyperinflation is going to change everything. It’s happening.
— jack (@jack) October 23, 2021
Dorsey’s tweet triggered a conversation with hundreds of comments and related side chatter about the potential impact and historical effects of hyperinflation, with many concurring and pointing to examples in other countries, according to the report.
“It will happen in the U.S. soon, and so the world,” Dorsey replied to one commenter.
See also: Retail Sales Up 0.7% in September as Inflation Continues to Rise
Hyperinflation is when overall price increases happen fast and furious, generally measuring in excess of 50% per month. Dorsey’s tweet comes as consumer price inflation is at its highest level in 30 years, the report stated.
Pandemic-related shortages combined with continuing supply chain snags will keep consumer prices up, with inflation lasting longer than anticipated and probably continuing “well into next year,” Federal Reserve Chair Jerome Powell said, according to the report.
Read also: Inflation, Consumer Confidence Point to Bumpy Holiday Spending Season
Hyperinflation can ruin currencies and bring down whole economies, the report stated, so most experts have not said hyperinflation is on the horizon.
In other news, consumers expect inflation, income and spending to rise, according to the June 2021 Survey of Consumer Expectations, a monthly gauge of economic health by the Federal Reserve Bank of New York’s Center for Microeconomic Data.
The results show an increase in the median inflation expectations in the short term — up 0.8 percentage points to 4.8% — and no change in the expectations for the medium term (3.6%).
See more: Consumers Expect Inflation, Income and Spending to Rise