Econ Forum: Isn't deflation a good thing?

Discussion in 'Economics' started by TGregg, Aug 29, 2003.

  1. rodden

    rodden

    Deflation is a snowball rolling downhill - it gets bigger and bigger faster and faster until it crashes at the bottom. If you want to stop it you must get it before it's too big and moving too fast. Japan is exhausting itself trying to push the deflation snowball back uphill. America's version of the Great Depression was an example of the effects of unchecked deflation. Deflation bad. Hyperinflation bad. Stagflation bad. Moderate inflation good. Check out the 'Kondratieff Cycle' at a variety of websites.
     
    #41     Oct 31, 2003
  2. Deflation is great. . .as long as you have a job and rising income
     
    #42     Oct 31, 2003
  3. :D
     
    #43     Oct 31, 2003