At the risk of being proven wrong, I’ll say I think the US will enter hyperinflation in 2010. At the very least I think there’s a good chance for that (based on my casual reading of various blogs like theautomaticearth.blogspot.com). Will the race war follow after the food stamps run out I can not say. Will the police state be able to round up the dissidents into those FEMA camps? I certainly hope not. And I lack the knowledge to predict with any confidence what will happen to euro and other currencies in this scenario.
Now, I have of course been wrong before. Last year, when the financial tsunami hit the global economy, I for example honestly thought the building boom would come to a near total halt in 2009 around my temporary Mediterranean location in Turkey. That hasn’t happened. People are still building no matter that there is hardly any shortage of vacant apartments and other properties around. I fail to see much good thinking behind the ongoing building projects except that at least they may keep public unrest at bay as unemployment levels won’t skyrocket as long as the banks keep funding new projects. Still, one would think that people should be able to be more useful doing other things if only they had little imagination.
Certainly there are plenty of poorer people around here living in rather unattractive older buildings but somehow I doubt many of them will be able to move to the new properties unless the current social order starts crumbling down.