Lessons from Weimar

Today's economists have learnt enough from the mistakes of the Weimar Republic that we are unlikely to see prices rising at 50% a month. But 14%-15% a year is eminently possible.

I had dinner with Adam Fergusson, author of When Money Dies: The Nightmare of the Weimar Hyperinflation, this week. We reviewed the book in the magazine a few weeks ago. For those who haven't yet rushed out to buy the book, it's a fascinating account of the way utterly uncontrolled inflation turned Germany from a relatively sophisticated capitalist nation into the sort of barter economy that had its middle classes trading pianos for potatoes.

Adam is a slightly bemused man. He wrote the book in the 1970s. When he started it, UK inflation was around 13%. By the time he was half way through, it had flown past 20%, which explains why the book sold as well as it did when it was published. However, after Margaret Thatcher and Geoffrey Howe (to whom Fergusson was an adviser) tackled inflation in the 1980s, he rather lost interest in the book, as did everyone else.

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Merryn Somerset Webb

Merryn Somerset Webb started her career in Tokyo at public broadcaster NHK before becoming a Japanese equity broker at what was then Warburgs. She went on to work at SBC and UBS without moving from her desk in Kamiyacho (it was the age of mergers).

After five years in Japan she returned to work in the UK at Paribas. This soon became BNP Paribas. Again, no desk move was required. On leaving the City, Merryn helped The Week magazine with its City pages before becoming the launch editor of MoneyWeek in 2000 and taking on columns first in the Sunday Times and then in 2009 in the Financial Times

Twenty years on, MoneyWeek is the best-selling financial magazine in the UK. Merryn was its Editor in Chief until 2022. She is now a senior columnist at Bloomberg and host of the Merryn Talks Money podcast -  but still writes for Moneyweek monthly. 

Merryn is also is a non executive director of two investment trusts – BlackRock Throgmorton, and the Murray Income Investment Trust.