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[–] ForTheUltimate ago (edited ago)
better deflation so the investment that is done is the most efficient. by saving, the purchasing power of frugal consumption and investment grows. economic decision making is just more efficient.
For the record, USA had price deflation in its first century.
[–] CanIHazPhD 1 point -1 points 0 points (+0|-1) ago
Deflation is a bad idea in most cases, because it stunts hiring (especially in the presence of minimum wage laws) and it stunts risky investments (like research and development, prospecting, etc.). Deflation is also particularly bad for people that have debt, like student loans or mortgages, at it increases the real value of debt over time.
Take some time to read this. https://en.wikipedia.org/wiki/Deflation#Effects
[–] ForTheUltimate ago
I would also add that growth has been slow under inflation, so I would encourage you to activate your curiosity.
I would also add that prices will adjust to the new lower supply schedules of money under deflation and the market will clear. We already have 100 years of a huge economy of a precedent on this. kek
[–] ForTheUltimate ago (edited ago)
freeing up ressources for other consumption and investment. By no longer bidding up prices of factors, other users have increased supply available to them.
What an opportunity to have less of a debt based economy!
thanks but I'm already quaint with the mainstream.