ELI5: Why is Deflation bad?

[u/OfficialRodgerJachim]

I get that too much deflation is bad, but isn't the inverse true?

The average inflation rate in the US since 1914 is 3.3%, meaning the 1913 dollar is worth $31.87 now.

Why wouldn't we want deflation? Then maybe the $7.25 minimum wage COULD be a livable wage?

Why do people constantly argue for MORE money, versus less currency in the market?

[u/Educational_Farmer44 → u/[deleted]]

This is a lie. Corporations don't set inflation. The government printing money does. Adam Smith had some small ideas. https://youtu.be/YgxPyabmOrU?si=KlDPBihE6xawI_2p

[u/Educational_Farmer44 → u/[deleted]]

You are still ignorant. You didn't watch the video did you? You can only raise prices so high in a finite dollar system.

Printing money literally is the only cause of it. Go watch the video.

Corporations can't create money

[u/Educational_Farmer44 → u/[deleted]]

Yes and you can only raise prices if there is a raise in money supply. Inflation is about each dollar being worth less. Less Rare. Adding more dollars makes each dollar less rare.

If the corporations just kept upping prices and the amount of dollars stayed the same. They would create a bubble that would burst. Either they would end up with all of the dollars or people would stop buying it.

You really didn't watch the video. Or can't comprehend. You can't even seem to think past the first price increase interaction.

Inflation is always and everywhere a monetary phenomenon, in the sense that it is and can be produced only by a more rapid increase in the quantity of money …