Deflation as a threat to an economic safety. Cover Image

Problem deflacji jako zagrożenia dla bezpieczeństwa ekonomicznego.
Deflation as a threat to an economic safety.

Author(s): Agnieszka Tomczak
Subject(s): Economy, Economic policy, Government/Political systems
Published by: Wydawnictwo Wyższej Szkoły Gospodarki Euroregionalnej im. Alcide De Gasperi w Józefowie
Keywords: Monetary Policy; deflation; liquidity trap; economic crisis;

Summary/Abstract: One of the dangers to economic safety comes from the disturbances in nominal economy. Subsequent, after the crisis of 2008, decrease of prices indicators in advanced economies as well as the troubles in implementing interest rates policy by the central banks, encourage to analyse the phenomenon of deflation. Deflation, contrary to inflation, has much more modest explanation in economic literature. The main thesis of this text is that deflation is not strictly monetary phenomenon but results from global and country economic situation. The central banks should not be responsible so much to fight deflation up. Deflation should not be appreciated only negative since the drop of CPI or HICP down to -1%, if is not accompanied by GDP and employment decrease and speculation bubble, do not is dangerous to economic safety.

  • Issue Year: 24/2015
  • Issue No: 1
  • Page Range: 169-187
  • Page Count: 19
  • Language: Polish