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Deflation incentivizes delaying purchases. Less purchases means less revenue. Less revenue means smaller budgets for employed staff.
by whytaka 6y ago
Deflation incentivizes delaying purchases. Less purchases means less revenue. Less revenue means smaller budgets for employed staff.
- seibelj 6y agoThat's your opinion - I don't see any source. My opinion is that it doesn't cause less jobs - I think it would eventually cause more sustainable jobs as malinvestment is removed from the economy.
- baq 6y agoDeflationary crises were common before the invention of the central bank and fiat currencies. Instead of believing go read some history.
- seibelj 6y agoThe historical incidents of deflation are insignificant and very few. The incidents of hyperinflation are common, and incidents of high inflation are guaranteed with fiat currencies with very few exceptions.
- imtringued 6y agoJust look at any random crypto forum. You can see an endless number of threads about people who made millions and stopped working and they are proud about that. Just think about Bitcoin. If you bought Bitcoin in 2013 and held onto them you would be rich today. If you spent them on pizza you would hate yourself.