Explain why deflation is dangerous for the economy. What happens when the nominal interest falls to zero and inflation c

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answerhappygod
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Explain why deflation is dangerous for the economy. What happens when the nominal interest falls to zero and inflation c

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Explain why deflation is dangerous for the economy. What happens
when the nominal interest falls to
zero and inflation continues to decline? How does this affect
investment and aggregate demand? Why is
the zero lower bound important?
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