I don't really see how you could have deflation in todays economy. What percentage of the monetary flow is cash these days? Not all that much, I'd bet. Deflation could only occur if the credit market dries up.
And if that happens, it would truly be a world changing event. Mrs. X would walk into a grocery store to buy Hamburger Helper for dinner and put it on her credit card, which still has a few hundred bucks on it before it's limited out, and allofthesuddenlike the machine just chews up the card and spits out these little plastic ribbons..
Man o Man o Man they just keep pushin this thing so that when it breaks, it's gonna really break!
I expect massive inflation - or total economic depression. I think the fed will opt for the former to do the standard monetizing of debt.