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[–] ForTheUltimate ago  (edited ago)

because it stunts hiring (especially in the presence of minimum wage laws) and it stunts risky investments (like research and development, prospecting, etc.).

freeing up ressources for other consumption and investment. By no longer bidding up prices of factors, other users have increased supply available to them.

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.

What an opportunity to have less of a debt based economy!

https://en.wikipedia.org/wiki/Deflation#Effects

thanks but I'm already quaint with the mainstream.

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[–] CanIHazPhD 1 point -1 points (+0|-1) 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.

Completely the opposite, you reduce hiring and r&d and supply immediately follows the downward spiral. There is a reason recession in most if not all cases follows and accompanies deflation.

What an opportunity to have less of a debt based economy!

Debt is not a bad thing, it's abuse is the problem. Most investment and growth opportunity has a time window, borrowing money lets you (or companies) make those windows.

thanks but I'm already quaint with the mainstream.

Enjoy your enlightenment, and your not-understanding economics.

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[–] ForTheUltimate ago  (edited ago)

You completely missed the point. You need to breakdown the elements into more detail. but go ahead retard. You failed at intermediate micro-economics. you confuse the change in demand for something with the supply of money as one thing. Then you confuse money with real things. all that because your simpleton brain can't deal with more variables. or rather because you lack the morality and curiosity to find the truth.