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deflation
(redirected from deflationary)

    Also found in: Dictionary/thesaurus, Financial, Wikipedia, Hutchinson 0.04 sec.
deflation: see inflation inflation, in economics, persistent and relatively large increase in the general price level of goods and services. Its opposite is deflation, a process of generally declining prices. The U.S.
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deflation

Contraction in the volume of available money or credit that results in a general decline in prices. A less extreme condition is known as disinflation. Attempts are sometimes made to bring on deflation (through raising interest rates and tightening the money supply) in order to combat inflation and slow the economy. Deflation is characteristic of depressions and recessions.
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This sum constitutes the leakage or deflationary gap because this is the amount of money that comes into the banking system but cannot leave the system because there are no more borrowers left.
What your experts missed by Koo, Richard C. / The International Economy
Japan rose quite suddenly in the 1980s, then vanished into a decade of deflationary obscurity, only recently recovering.
Full speed ahead by Brown, Greg / Latin Trade
Continued deflationary cost trends make rate reductions appropriate.
Zenith files workers comp reduction by Los Angeles Business Journal
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