For some time Rosenberg has been saying that the global economy is stuck in deflation.
In late 2008, after the collapse of Lehman Brothers, the market was pricing in deflation (see chart).
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In deflation the nominal value of debts remains fixed even as nominal wages, prices and profits fall.
Japan has been mired in deflation for a decade, and prices are falling by 2% year on year.
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The slide in deflation is meanwhile bad news for retail companies struggling to keep pace with consumers' collective expectations of a deflationary environment by rigorously cutting prices.
But in a country such as Japan that is caught in deflation, banks already have plenty of money available to lend, but companies continue to pay down their debt and don't want to invest.
Deflation is actually a good thing, because in a deflation prices drop and money becomes more valuable, so deflation encourages people to save money.
This internal adjustment might involve inflation in surplus countries and deflation in deficit countries.
And already, because of inflation in Brazil and price deflation in Argentina, the real exchange rate between them is close to its pre-devaluation level.
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Moreover, in a deflation, where prices fall, a low rate of interest can be very high in real terms.
The Bank of Japan's role in fighting deflation and economic stagnation has hardly been impressive.
If, in the market jargon, the Fed had been behind the curve in tackling deflation, yields would have fallen further.
Since the Democratic Party of Japan took office last year, it has been pressuring the Bank of Japan to be fiercer in fighting deflation.
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Piercing the bubble of corporate Hollywood isn't the most original endeavor, but Mamet's trademark pugilistic style makes this exercise in industry deflation feel new and invigorating.
On the contrary (and missed by the foreigners in 1998-99 and since), after the equity and property bubble burst in 1989, and deflation set in, cash has been a wise choice.
Shinzo Abe, who was elected on September 26th as head of the opposition Liberal Democratic Party, has said he will increase pressure on the BoJ to become more active in ending deflation.
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But this is only half the picture: if it succeeded in ending deflation, the Bank of Japan would help to reduce banks' losses on their loan portfolios, which are bigger than those on their bond portfolios.
In Japan deflation is the problem.
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While real rates in America and Britain are negative, deflation in Japan and Switzerland means their real rates are positive hence the recurring enthusiasm for their currencies.
In today's case, those who see deflation in our midst point to a difficult capital environment for businesses.
ECB's policy is that, in current circumstances, it may not be sensible to focus, as the central bank does, on the average inflation rate in the euro area, if this risks creating deflation in Germany.
When Mr. Bernanke made his speech, price movements in options markets suggested investors thought there was near 40% probability of deflation in the coming year, according to Barclays Capital calculations.
The debate over whether we are in for inflation or deflation was alive and well at the Agora Symposium in Vancouver this week.
Moreover, with ample spare capacity in America, deflation looks a bigger risk than inflation.
Last year there did seem to be a serious risk of deflation in America.
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"We support the effort to reinvigorate growth and to end deflation in Japan, " said Ms Brainard.
GDP, companies had too much production capacity and prices were falling in a debilitating deflation.
If they are successful, deflation in Japan will worsen and quickly lead to an economic implosion.
If German inflation is much lower, the adjustment could require years of outright deflation in the periphery.
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