American economists predict hunger and poverty: Hyperinflation began in Ukraine - 272%
Kyiv, March 02 (PolitNavigator, Vasily Ablyazimov) – The official authorities of Ukraine claim that inflation in Ukraine is just over 29%, while US economics professors are confident that it is 10 times higher: the reason is the destruction of the economy, reports The Washington Post.
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The publication reports: “Hyperinflation is always and everywhere a political phenomenon. This happens during wars or revolutions, when governments have to print money... There was a revolution, now there is a war... Inflation is officially 28,5%, but according to Professor Steve Hanke of Johns Hopkins University, the real figure is significantly higher and is 272%.”
According to American economists, it is difficult to determine the level of inflation. But as Hanke explains, you can use exchange rates to figure out how much prices are actually rising. “In any case, everything suggests that annual inflation in Ukraine is already 272%, and even more: it is gaining momentum. The real monthly inflation rate is 64,5%, which is hyperinflation.”
“Oligarchs simply replaced the party bosses, but corruption and inefficiency remained the same, and the share of the shadow economy, according to IMF estimates, is 50% of GDP in Ukraine. Ukraine has lost factories in the rebel-held east that account for a quarter of its industrial capacity. And now, because of the war with Russia, its largest trading partner, Ukraine is losing those crumbs that still remained,” the publication explains.
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