Deflation

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The rupture of a breast implant, which is abrupt, obvious and harmless with saline, and slower, less obvious and fibrosing (scarring) with silicone
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Price deflation, as one reader pointed out to me, is really just part two of an earlier piece written in this same space about the lack of marketing and advertising support for home furnishings products.
The good news includes data suggesting that Japan's nearly eight-year stretch of price deflation is ending.
Sir Stuart Hampson, chairman of John Lewis Partnership, said: "The sense of relief that Christmas turned out brighter than many feared should not disguise the fact that conditions in retailing remain tough, with strong competition and price deflation keeping pressure on margins."
Granville reportedly suffered as a result of continual price deflation in the PC market and its administrators Grant Thornton said the severity of the group's losses meant that trading could not go on.
THE FEDERAL RESERVE IS DEEPLY CONCERNED about the possibility of price deflation in the U.S.
''Moreover, Hong Kong's price deflation of recent years is an expected and appropriate working of the territory's currency peg to the U.S.
Although statistics are volatile, private consumption appears to have remained stable, price deflation o f around I per cent serving to offset weak growth of nominal income.
And, in the face of real price deflation, hungry competitors, a sluggish economy and stubborn customers who refuse price increases, your choices are to cut costs, cut margins or lose business.
The LDP tax commission will specifically study measures to boost consumer spending and the overall economy, halt asset price deflation and prod banks to unload problem loans, Muto said.
In this Economic Commentary, we review some of the potential perils of price deflations. We do this by examining how price deflation contributed to the worst economic calamity of the twentieth century--the Great Depression.
But he acknowledges that the commercial p/c industry has been in a prolonged price deflation. "Industrywide results have been extremely poor, and there is no sign of real relief," he says.
This method prevents efficiency gains from being treated as price deflation (and inefficient production from being treated as price inflation) in the product.