by Chris Becker
A great historical chart from Callum Thomas that compares the proportion of countries with high inflation and deflation since the early 1970s:
The 1970s were characterisied by very high inflation, even in Australia, which then turned into a generation of moderation as that beast was “tamed” by an explosion of debt.
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Following the Japanese lead, the developed nations are taking the deflation bit between the teeth as that overhang of debt smacks straight into a demographic and political quagmire.
Cash remains your best friend in deflation.