Zimbabwean Economy: ??!!?

[seireikhaan]

Here is an absolutely stunning article on the state of Zimabwe. A few excerpts of notice, I believe:

Economic analysts say unless the rate of inflation is slowed, annual inflation will likely reach about five million per cent by October.

Huh? How on this green earth is that conceivably possible? I mean, seriously, how? I'm no wizard on economics, but this sort of thing seemed beyond the grasp of possibility. That kind of number for inflation rate is utterly mind boggling.

An example of the effects of this:

As stores opened for business Wednesday, a small pack of locally produced coffee beans cost just short of one billion Zimbabwe dollar. A decade ago, that sum would have bought 60 new cars.

That Robert Mugabe could even have the slimmest of chances of remaining 'President' of this country is a pox upon democracy.

[HoreTore]

Huh? How on this green earth is that conceivably possible? I mean, seriously, how? I'm no wizard on economics, but this sort of thing seemed beyond the grasp of possibility. That kind of number for inflation rate is utterly mind boggling.

It's just a number, how big it is now is meaningless, really, now it's just a number for the economists to touch themselves over...

To the average and unemployed Joe Zimbabwe, it means little. Just that he is still as poor as he was before.

[PBI]

Surely the title of this thread is an oxymoron?

As for Zimbabwean democracy, it has been dead for a long time now.

[seireikhaan]

Surely the title of this thread is an oxymoron?

As for Zimbabwean democracy, it has been dead for a long time now.

Actually the title was slightly different when I posted it, but apparently it wasn't quite mod-approved and was changed.

[JAG]

What we need is a war for freedom and democracy, a liberating barrage of cruise missiles and a saviour....

[Lemur]

JAG, why do you reflexively jump from a topic about Mugabe and Zimbabwe to implicit criticism of America's misadventure in Iraq? Are you fixated, stuck in a rut, obsessed or monomaniacal? For this level of fixed malevolence, you would think America was a hot chick who turned you down in front of your buddies.

As for Mugabe's hand-crafted hellhole, it beyond sad. It's like a combination of Stalin's Five Year Plan and the Khmer Rouge's Year Zero "Everybody Dies" adventure.

Real reporters are banned, so almost all the good info coming out is from bloggers. Wave of the future, I suppose.

[Xiahou]

That Robert Mugabe could even have the slimmest of chances of remaining 'President' of this country is a pox upon democracy.

I has little to do with democracy I'm afraid. I keep hearing story after story about how members of the opposition party are being jailed, disappeared, or outright murdered. All the upcoming runoff will accomplish is giving Mugabe time to complete his stealing of the election.

[seireikhaan]

I has little to do with democracy I'm afraid. I keep hearing story after story about how members of the opposition party are being jailed, disappeared, or outright murdered. All the upcoming runoff will accomplish is giving Mugabe time to complete his stealing of the election.

Hence my ' ' around the word President. Of course its not actually democratic, but it operates under the facade of one.

[Evil_Maniac From Mars]

How on this green earth is that conceivably possible?

When you need more money, just printing more is a bad idea.

[seireikhaan]

When you need more money, just printing more is a bad idea.

Well, yeah, I know that, but how much money do you have to print to get that kind of inflation? I mean, jeez, that's utterly insane.

[LittleGrizzly]

It must be one of the only sectors of growth in the economy, money priniting...

[rory_20_uk]

The money is printed in Europe (Germany I think) and flown in.

So... Even making the currency eats into foreign hard cash.

[PBI]

The money is printed in Europe (Germany I think) and flown in.

So... Even making the currency eats into foreign hard cash.

That's probably the most funny and most depressing thing I've heard all day, I'm not quite sure which.

It's almost like a case study in exactly how not to run an economy. First, destroy your country's production of its only major export. Then make your currency worthless through printing so much of it in order to keep paying your cronies to enforce your disastrous policies.

indeed.

[Productivity]

Well, yeah, I know that, but how much money do you have to print to get that kind of inflation? I mean, jeez, that's utterly insane.

You just add zeroes onto the end of the notes... As for what it does, it destroys any chance of having a functioning economy. Not that there is much when Mugabe is your president.