Slightly adapted from: http://market-ticker.org/authors/2-Karl-Denninger
A) Who benefits from deflation? [they don’t want monetary inflation] Those who save, are prudent in their spending, and not in debt. Consumption is limited to things you actually need to buy – not frivolous spending – as prices may fall in the future and they get better deals.
B) Who wants to avoid deflation? [they want monetary inflation] Those who are over-levered, in debt, and are trying to avoid declaring bankruptcy by foisting off bad economic policy on the rest of the nation!
Now, which group is in currently in charge? Thanks Mr. Denninger for helping me understand!