Controlled deflation uses the increase in value of assets chosen to be used to back the dollar to increase the purchasing power of the dollar! A very simple concept that we could put in place by simply backing the dollar once again and declaring that the dollars purchasing power (going forward) will be determined by the appraised and or inflated value of those assets! IE> With the cost today of a coke from a machine being $2+- with today's backing assets valued at $5T with $2.5T of dollar currency distributed one simply divides asset value by dollar currency distributed netting the figure $2. That would peg the value of 1 "share" of the USA at $2 which is the same price pd for that coke.
Now fast forward 5 yrs to discover the value of those assets has increased 15% with 5 yrs of inflation totaling 12%. THAT would mean the purchasing power of the dollar has increased 3% not only totally defeating/zeroing out inflation but actually reversing inflation by going in the opposite direction which puts pressure upon biz to actually reduce pricing via our highly competitive capitalistic system!
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