this post was submitted on 01 Dec 2025
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A Boring Dystopia
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Deflation would be bad, for a lot of reasons, not the least of which is that debt defaults, both public and private, would skyrocket. So, no, we don't want lower prices, as that would certainly mean a significant recession, if not depression.
What people, desperately, desperately need is for their income to AT LEAST keep up with inflation. Any household that doesn't see their yearly income increase at least as much as the rate of inflation, are getting a pay cut. And when you consider that housing, a ubiquitous, universal human need, has increased in price much faster than the overall rate of inflation, really people probably need their income to increase much more than the base inflation rate.