The direct cause of the hyperinflation that plagued Zimbabwe in the 2000s is ________.

Question

Quizplus · Accepted Answer

The direct cause of the hyperinflation that plagued Zimbabwe in the 2000s is the printing of too much money by the central bank. The excessive printing of money led to an increase in the money supply, which created a situation of too many dollars chasing too few goods, resulting in skyrocketing prices. This led to a loss of confidence in the local currency and a switch to foreign currencies, exacerbating the hyperinflation.

The Direct Cause of the Hyperinflation That Plagued Zimbabwe in the 2000s