Deflation
- a condition in the general price level of goods and services decreased steadily. Stemming from aggregate demand too low. Not enough to buy the goods and services enable manufacturers to reduce prices in order to sell it. And cut down production because it produces the same amount it sold less. The consequences will cause adverse effects on the economy because employment will be reduced accordingly. A chain effect on the standard of living of the people. So when deflation The purchasing power of individuals will be higher.