 Hyperinflation is a complex phenomenon and one explanation may not be applicable to all cases.In both of these models, however, whether loss of confidence comes first, or central bank seigniorage, the other phase is ignited.In the case of rapid expansion of the money supply, prices rise rapidly in response to the increased supply of money relative to the supply of goods and services, and in the case of loss of confidence, the monetary authority responds to the risk premiums it has to pay by "running the printing presses."