DEFLATION

1. inflation takes place in the presence of a shortage of goods and a deflation takes place in the presence of an abundance of goods. That's really all you need to know about money. If money won't buy things, it inflates and if money will buy too much, it deflates. So if people have no facilities to produce or are being disturbed continuously politically you get an inflating state of affairs. (SH Spec 13 6403C24) 2. when the amount of products in the country exceed the amount of money there is to buy things, -that's deflation. (ESTO 9, 7203CO5 SO I)

a lessening of the amount of money in circulation, resulting in a relatively sharp and sudden rise in its value and a fall in prices. A deflation exists where there are more goods in circulation than there is money to buy them. —Money Glossary. Final approval circa 16/9/89

a lessening of the amount of money in circulation, resulting in a relatively sharp and sudden rise in its value and a fall in prices. A deflation exists where there are more goods in circulation than there is money to buy them.reduction of the amount of available money in circulation so that prices go down.