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Updated: May 24, 2025

Consumers learn to expect lower prices i.e., inflationary expectations fall and, with them, inflation itself. The intervention of central banks only hastened the process and now it threatens to render benign structural disinflation malignantly deflationary. Should the USA reflate its way out of either an impending double dip recession or deflationary anodyne growth?

Samuel Vaknin - Capitalistic Musings