French defalation

[BrilloPad]

France is looking straight down the barrel of a deflation shock – Telegraph Blogs

<snigger>

[AtW]

Some economics say that deflation is evil because people won't spend their money on something that gets cheaper, I wonder how that would happen when most of money is spent on essentials like rent, fuel and food.

[petergriffin]

France is looking straight down the barrel of a deflation shock – Telegraph Blogs

<snigger>

Deflation is bad for the banks and for the richest 0.1% but good for the common man because your money can buy more stuff.

I don't know if this was intended, but as a good Socialist he's doing the interest of his voters.

[xoggoth]

What with this and the problems in the emerging markets, yet another stock market collapse looks inevitable. Given the world economic outlook current prices can't be justified.

[Doggy Styles]

Deflation is bad for the banks and for the richest 0.1% but good for the common man because your money can buy more stuff.

I don't know if this was intended, but as a good Socialist he's doing the interest of his voters.

It's bad for borrowers, which is a large chunk of the country's common men, because the real value of their debt increases (the opposite of what we were used to years ago when our mortgages were 'reduced' in real terms by inflation over time).

It also encourages savers to hoard their money, reducing economic activity, which causes more businesses to fail.

Deflation buggered Japan.

[expat]

I just came here to see what French defalation was

[MicrosoftBob]

I just came here to see what French defalation was

Is that where they burn a blow up sheep when they're too lazy to find a real one ?

[BrilloPad]

I just came here to see what French defalation was

Its where the OP is a thick twunt who can't spell.

Mind you its sometimes funny to wind up posters like Churchill! When I met up with him 2 weeks ago I mispronounced a poster's name. I thought he was going to punch me! Luckily CM was there so I was not worried.....