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9 November, 13:01

Explain how hyperinflation might lead to a severe decline in total output.

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  1. 9 November, 16:46
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    The production and the investment in the productive capital may decrease and the unemployment will increase or soars. High inflation discourages buys from spending at the current moment and wages do not go up high enough to support the normal. Production and investment in productive unemployment soars / increase and capital decrease.
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