Post
Topic
Board Economics
Re: Is deflation truly that bad for an economy?
by
tee-rex
on 25/03/2015, 16:56:29 UTC
Like others have said, deflation, like inflation, is neither good or bad in and of themselves.

Inflation favours those with debt while penalising savers.
Deflation penalises those with debt while favouring savers.
For every argument for/against deflation there's a symmetric argument against/for inflation. So it seems to me 0% is best as it favours neither.

By this you confirm that you don't understand how deflation impacts an economy, and that you didn't read the previous few pages of this thread where I explained it mathematically why deflation simply cannot be a mirror reflection of inflation.