>.but a healthy economy shows some nonzero manageable inflation level. Not actually. Permanent inflation is a feature of modern fiat money regimes. As I noted,

>.but a healthy economy shows some nonzero manageable inflation level. Not actually. Permanent inflation is a feature of modern fiat money regimes. As I noted, we have experienced prolong periods of modest deflation and economic growth in the past. Economic growth tends to increase prices for all the usual Keynesian reasons and tends to increase the money supply, even with a commodity reserve currency. However, increased productivity tends to reduce prices. If productivity increases fast enough and money growth is limited by a commodity standard, it is possible to have a growing economy with declining prices. In fact, it has happened in the past, as I noted.