Price deflation is the enemy of most markets, especially commodity markets and including gold and silver.
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At minimum, garnishing from wages and payment to pensioners should be reduced in line with price deflation.
As boys, Wooden and Reagan watched their fathers fail during the great rural price deflation of the 1920s.
The wartime cycle usually begins after a long period of commodity price deflation accompanied by an economic depression.
Price deflation and falling wages have, in effect, already delivered devaluation by stealth.
Since price deflation is a greater threat to profits than stable or rising inflation, in theory this should also be good for equities.
Some analysts believe Japanese consumer spending - long weighed down by price deflation and weak sentiment - may also be poised to recover.
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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But if asset price inflation turns to asset price deflation first, bringing about recession, then goods and services inflation is pre-empted in the immediate cycle.
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They see the problem manifesting as price deflation, even though, over most of the past 10 years, the yen has fallen in value compared to gold.
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Brewers, further hit by higher costs for key raw materials and packaging, and price deflation in the supermarket sector, are joining together to achieve economies of scale.
So far the industry has found no real solutions to the problems of slowing demand and price deflation, apart from aggressive discounting, which further damages profit margins.
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What the gold market and other commodity markets are more likely worried about at present is price deflation, amid falling commodity market prices and worries about worldwide recession.
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By the central bank's reckoning, official figures understate deflation by up to one percentage point, which suggests that Japan is suffering a persistent consumer-price deflation of perhaps 1-2%.
And if a devaluation cannot be used to reduce real wages, the real exchange rate overvaluation will be undone via a slow and painful process of wage and price deflation.
The second and no doubt leading contributor to the gold bubble has been the world financial crisis of 2008-2009 and the subsequent worldwide central bank policy of monetary expansion to fight financial asset price deflation.
The Bank of Japan, now formally independent of the government, could also help by loosening monetary policy further (ie, by printing money) in order to oil the wheels of commerce and to seek to reverse the price deflation which is itself restraining consumption.
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Over the ensuing 15 years the yen tripled in value against gold, the tripling in price an actual deflation.
Perhaps it is a modern day depression with price and wage deflation.
To be sure, southern European countries are running huge trade deficits with the northern tier (especially Germany), but as long as all are tied together by the common currency, internal cost and price adjustments (deflation in the south, inflation in the north) will be slow and painful, and will do little to spark growth for Europe as a whole.
If the Federal Reserve were to stop creating new money, the result would be not a stable price level but significant deflation.
He worries that the price of seeing off deflation is that the Fed will be unable or unwilling to reverse itself in time to prevent a resurgence of inflation.
Economists, though, too often confuse normal marketplace price changes with inflation and deflation.
Rather, the worry is of persistent price declines that characterise true deflation.
However as the market price of gold rose, deflation set in.
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If the price plunges, clutch your cash because deflation will be coming back.
Deflation, as marked by the price of gold, began around 1996.
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