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I dealt with this in the early 1980's. If you recall, that was a time of stagflation. I am hearing a rhyme here.
IP,
As did I.
I am thinking deflation with massive unemployment. We are risking the early 1930s. The higher unemployment goes, the lower inflation will go. The lower inflation goes, the more the job market will falter.
In the early 1980s, high interest rates could come down, which spurred refinancing. We will lack that tailwind. Quite the opposite, individual and government debt will become burdens very quickly.
