The Doctrine of Inevitability

[Charles Brown]

Doesn't general inflation mean lower
prices which means lower costs for
the working class as one of the
most direct results of deflation ?
Although, inflation helps the
working class as debtors, deflation
helps the working class as consumers.
It is like the reverse of a sales tax. So,
just as the latter is regressive, its 
reverse has progressivity.

Hasn't the continuous inflation
of the immediately  previous long
term period ( since at least 1970 or so)
been
in part the result of monopoly ?
Isn't deflation in some sense an
undermining of monopoly price
fixing ?

Charles Brown


>From the market to the Marxit


>>> <MScoleman at aol.com> 09/02 5:40 PM >>>
In a message dated 98-09-01 12:49:01 EDT, you write:

<< Rakesh Bhandari wrote:

 

 >Oh, on the question at hand, does deflation only benefit bond holders?

 >Can't it aid the centralization process as well--driving weaker capitals

 >to the wall, allowing better positioned ones to pick them up for a song?

  >>

I think deflation would also help those locked into wage contracts and fixed
incomes.  Since real income is a function of money income divided by costs, if
costs go down, real incomes will increase.....and they are about to pension me
off, yeah!

maggie coleman mscoleman at aol.com