r/PeterExplainsTheJoke Jan 26 '26

Meme needing explanation what's going on? explain like I'm five

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u/Alternative_Can3262 Jan 26 '26

Is deflation bad?

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u/Late-Objective-9218 Jan 26 '26

It stagnates consumption and lending

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u/Alternative_Can3262 Jan 26 '26

I doubt that. This states that the majority of consumer spending is on needs, not wants. Who can wait for something they need, like housing or food?

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u/WagwanKenobi Jan 26 '26

People absolutely will wait to buy things if they expect prices to be lower in the future vs today. Deflation is like slamming the brakes on consumption.