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by andrewljohnson 5354 days ago
Deflationary currency is an oxymoron.
3 comments

A deflationary currency might be considered undesirable but it is not an oxymoron any more that "inflationary currency" is.
Deflation - good for you, bad for the state. http://www.youtube.com/watch?v=a6E1k2YO9qU
Mild deflation is the natural state of things - over time, most tasks should take less labor to accomplish because of improvements in technology and organization. Are we to prefer that a man who labors enough to buy four gallons of milk can only purchase a one if he chooses to do so 30 years later, even though the cost of producing milk in real terms (and indeed the price of milk in real terms) has decreased?