“More like DEPRESSION!”
Not yet.
In order for an deflationary economy to exist, the inflationary cycle that has been the norm post WW2 would have to ‘run out of steam.’
I don’t see that happening because the economies that produce most of the global wealth don’t have a reason to deflate at this time period.
In order to cause massive deflation many things would have to occur globally, such as:
1) The Central Banks of North & South America, Asia, & Europe all raise interest rates extremely in conjunction.
2) All the governments in the mentioned economic zones, cut budgets & spending.
3) The global money supply is cut substantially year after year until valuations drop.
The only deflationary policies being pursued at this time, are interest rate hikes which aren’t going to cause a depression, but will make capitalists extremely picky about incurring losses on business models that can’t produce a ROI.
I pray you both are correct, but we are living in unprecedented times...