I think that's the beauty. If economy is not growing, there is no deflation. So if people are not spending, economy will be slower, deflation will be either slow, or not even there.
Deflation only occurs if money supply is fix, and economy is expanding. But it won't expand, if people are hoarding money. So to say:
Economy is growing -> deflation occurs -> people start to hoard -> deflation dissapears -> people spend again -> economy starts to grow again -> repeat
CodePsychology / Code & Psychology ⚡️
npub1r6…03kh5
2023-10-19 21:41:47
in reply to nevent1q…wduq
Author Public Key
npub1r6wcp84fd7xhyflsvqjlf63d6s0fgfkyyakedfc8wzv8eqqn6gwqp03kh5Published at
2023-10-19 21:41:47Event JSON
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