Type 2 in this case is not an overall deflation in the economy, just for one sector. It also seems hard to me to measure the inflation/deflation there since the sector doesn’t have the same products over time, constantly innovating. Are people spending less money on electronics now than they used to? I find that hard to believe.
Type 2 in this case is not an overall deflation in the economy, just for one sector. It also seems hard to me to measure the inflation/deflation there since the sector doesn’t have the same products over time, constantly innovating. Are people spending less money on electronics now than they used to? I find that hard to believe.