We study the dynamics of a flat multidimensional anisotropic cosmological model filled with an anisotropic fluidlike medium. By an appropriate choice of variables, the dynamical equations reduce to a two-dimensional dynamical system. We present a detailed analysis of the time evolution of this system and the conditions of the existence of spacetime singularities. We investigate the conditions under which violent, exponential, and power-law inflation is possible. We show that dimensional reduction cannot proceed by anti-inflation (rapid contraction of internal space). Our model indicates that it is very difficult to achieve dimensional reduction by classical means.