Why Central Bankers Hate Deflation

Governments are slowly strangling private sector production with increasingly rapacious demands on taxpayers and have been resorting to the printing press to finance the shortfalls. In reality, there is a finite limit to government spending, because it impoverishes the tax base. Yet governments, with very few exceptions, seek to conceal this truism by increasing spending and budget deficits even more. In this, President Trump is not alone.

 

 

https://mises.org/wire/central-bankers-wont-tolerate-deflation-%E2%80%94-no-matter-cost

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