Investment plays in recession

dd

Deflation is about as dirty a word as you can find in the realm of economics and it's usually associated with the other dreaded "D" word, depression. Indeed, the Great Depression was largely driven by deflation nearly 80 years ago. The consumer is sure to love falling prices at first, but the fear is that if deflation becomes deep and pervasive enough, it will eventually spur employers to cut wages and axe jobs, sending worried consumers deeper into their foxholes. The most pernicious aspect of deflation is how it raises the cost of repaying debt by boosting the value of the dollar.

Related Links
finance , invest , americas , inflation , deflation