Wanniski says the first wave of deflation to hit the U.S. was a result of the currency crisis in Thailand that spread to the rest of Asia in 1997 and severely affected U.S. commodity producers like hog farmers and oil drillers.

FORBES: Double-Dipping Into Deflation?

This serves as a proxy for all of our commodity-related expenses such as food and fuel, and, as the effects of currency devaluation spread, rising prices for all sorts of goods and services.

FORBES: Oil Continues to Rise Because the Dollar Continues to Fall