Low inflation might be the first step towards deflation. Many economists would argue that deflation is a worse situation for the economy because it leads to a sharp drop of consumption and therefore a huge recession follows?
You seem to think you know more about economics than people with PhDs in the field (most of whom will tell you that deflation is bad for the economy). Honestly, that's genuinely the peak of hubris and the most "reddit-brained" take I've ever seen.
I'd at least like to inform you that we had a heavily deflationary economy during the Great Depression; If you think deflation is a good situation to be in, think again.
You seem to think you know more about economics than people with PhDs
Appeals to authority are unimpressive.
Economists operate on the level of astrologists. When their predictions come true they act like wizards. When their predictions fail they say "Oops I made a mistake. Time to bail out the one percent while everyone else gets soaked."
I made a mistake in presuming that the self-interest of organizations, specifically banks, is such that they were best capable of protecting shareholders and equity in the firms ... I discovered a flaw in the model that I perceived is the critical functioning structure that defines how the world works. I had been going for 40 years with considerable evidence that it was working exceptionally well.
- Alan Greenspan, economic wizard and housing bubble / bailout architect
"Bad for the economy" is not the same as "bad for humanity". That's why it is better for the GDP if someone gets cancer than if someone cures cancer.
If deflation means people stop buying so much frivolous crap that ends up in landfills it could be worth whatever damage it does to the GDP.
I think you're familiar with a couple famous neoliberal economists and think that's all there is in the whole field. I promise you, whatever your political bent is, there are PhD economists who agree with you.
If you think all economists think we should focus on maximizing GDP you need to read more about economics.
... okay? What a great own that doesn't actually mean anything. Economics is a science, not a religion. People are supposed to disagree, and they do. Is your argument that scholarly disagreement makes economics less valid as a field?
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u/StuartMcNight 9h ago
Low inflation might be the first step towards deflation. Many economists would argue that deflation is a worse situation for the economy because it leads to a sharp drop of consumption and therefore a huge recession follows?