FT MarketWatch

Deflation

A Decline in general price levels, often caused by a reduction in the Supply of Money or Credit. Deflation can also be brought about by direct contractions in spending, either in the form of a reduction in government spending, personal spending or investment spending. Deflation has often had the side effect of increasing Unemployment in an Economy, since the process often leads to a lower level of Demand in the economy. opposite of inflation.

Related Terms: 19 ADS, Action, Contraction, Contract, Credit, Deflation, Demand, Decline, Economy, Flat, Inc., Low, Money, Owe, PPO, ROC, ROCE, Supply, Unemployment
Other Related Pages: Category: Economy Starting With: D
Semi Related Terms: 653 CLICK HERE TO VIEW
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