The Economist (February 21)
2015/ 02/ 22 by jd in Global News
“Deflation can be a good thing. But today’s version is pernicious.” Prices have fallen in Germany, Italy, Spain, Greece, indeed the euro zone as a whole, and “ultra-low inflation is also widespread. America, Britain and China each have inflation rates of less than 1%.” Should there be another crash, central banks would have little room to act. “The world is grievously underestimating the danger of deflation.”
Tags: Central banks, China, Deflation, Euro zone, Germany, Greece, Italy, Pernicious, Prices, Spain, U.S., UK
