Doing more with less = Deflation
That German inflation should be so low is a puzzle and highlights the
difficulties the European Central Bank faces. After all, if an economy at
broadly full employment, growing at trend and with an incipient housing boom is
struggling to achieve target consumer price growth, what hope is there for
countries still nursing a huge amount of economic slack.
http://blogs.wsj.com/moneybeat/2014/04/28/germanys-inflation-conundrum-2/?
I have posted about Deflation many times. I don't see a different outcome, capitalism is about doing more with less and that is deflationary.
http://thoughtmeme.blogspot.pt/2014/03/deflation.html
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