deflation is BAD
"Deflation for assets may be BAD from the perspective of the OWNER of those assets, but deflation is GOOD from the perspective of the BUYER of those assets. Ying and Yang strike again. Like the stock market - for every buyer there must be a seller to make a transaction. When the buyer(s) are more interested in buying than the seller(s) are interested in selling -- the price drifts upward until both parties are happy - ideally."
Bad for the economy. Simple; everyone stands around with their hands in their pockets waiting for the price to drop further.
|