Showing posts with label Deflation. Show all posts
Showing posts with label Deflation. Show all posts

Thursday

Deflation

From Si

"The question is if we are in a situation which is deflation ,So the value of our money will decrease right? And what about our export it will cheaper or more expensive? "

Value of money falls - does this mean the exchange rate falls?

If the exchange rate falls will exports always be more expensive?

Will imports always be cheaper?

If your economy deflates but so do other economies also deflate, what happens?