I’ve always said I prefer deflation because it has a floor that can’t be budged while you can always push the ceiling higher. Wages will fall behind inflation but will also fall behind deflation so a wage earner will make out better in a deflationary spiral than an inflationary one where your wages are forever chasing rising costs.
Need any more proof how harmful inflation is than to see that Obama and the Democrats are all for it?
To quote the last scene from "Trading Places," why can't we have both? A hyperinflationary depression, such as occurred in Weimar Germany, is the worst of both worlds.
Deflation is bad for governments and people in debt. Inflation is bad for people on fixed income and savers.