• Deflation Is the economic and financial phenomenon which represents declining prices particularly for goods and services. It can occur in countries with strengthening currencies. Here, the cost of imports would tend to decline. It can also occur in countries which are experiencing depressed economic conditions. At such times of declining output, sales of assets generate considerable downside pressure on prices. Deflation can be viewed in monetary terms when the money supply is constracting to such an extent that one unit of currency purchases increased amounts of goods and services.
| ||Embedded terms in definition|
| ||Referenced Terms|
| ||Consumer price index: The CPI, as it is called, measures the prices of consumer goods and services and is a measure of the pace of U.S. inflation. The U.S. Department of Labor publishes the CPI very month.Abbreviated CPI. A measure of price changes in consumer goods and services used to identify periods of inflation or Deflation.Abbreviated CPI. A commonly used measure of the increase (or decrease) in costs of goods and services, published by the U.S. Bureau of Labor Statistics.|
| ||Real rate of return: The annual percentage return realized on an investment, adjusted for changes in the price level due to inflation or Deflation.|
Helping Disabled or Elderly Relatives With Money Management, Even From Far Away: Millions of people serve as financial caregivers for ill or elderly spouses, parents, children or other loved ones. They perform services that include paying bills, handling deposits and investments, filing insurance claims and preparing taxes. Because this role can be costly and physically and emotionally exhausting, especially for a caregiver who lives far away or has the usual time-demands, FDIC Consumer News offers some suggestions. More...