With deflation, the government can spend and spend on all the goodies people want – more free healthcare, more free unemployment checks, more free Social Security checks, pork, bailouts, you name it.
If prices are dropping, there’s no danger that money printing (computer blips actually) can trigger inflation. Money (fiat) can be poured into everything!
We should use this time to grow government really huge with a special bureau to control prices, if inflation returns. There’s no inflation so just print up a lot of paper and hire a lot of the unemployed to monitor prices (I know it can be done electronically but computers don’t vote…usually…or unless you’re in Chicago). Establish price controls and print away!!
As long as we are going to have a National Socialist state, let’s get it right this time!!