Deflation Isn’t the Danger – The Fear of It Is

Over a century of central banking has instilled an irrational fear of falling prices in the American public. But the reality is that falling prices are what make our economic lives better, and inflation, the regime’s preferred monetary policy, is far worse than deflation.

The following article was originally published by the Mises Institute. The opinions expressed do not necessarily reflect those of Peter Schiff or SchiffGold.

This article is adapted from a lecture presented at the 2025 Supporters Summit in Delray Beach, Florida.

I want to start with a confession: I love falling prices. I love deflation. I want all prices to go down to a nickel.