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Deflation raises the burden of debt and causes consumers to stop spending, because they expect cheaper prices.
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Economic stimulus programs like the one President Obama signed into law last week have been hampered in Japan by deflation, the downward spiral of prices and wages that occurs when consumers hold down spending — in part because they expect goods to be cheaper in the future.
One can debate this point at length, but it may be that some plaintiff's counsel are less concerned about surviving a motion to dismiss because they expect an early (and cheap) settlement.
Edwards has found the cost of selling high-value items to be steep on eBay, and he isn't convinced it is the right place for expensive items such as conservatories: "It's an online car-boot sale, and people go to car-boot sales because they expect to get something cheap," he says.
Tourist authorities love the idea because they expect hundreds of thousands more holidaymakers to jet into Israel on cheap flights.
Perhaps because they expect to win.
While the terms of credit were tempting, consumers assumed the loan because they expected to be able to pay their mortgages given cheap gas prices at the time.
Because they expected to.
Children today don't expect cheap gifts anymore, they demand expensive hi-tech ones.
"Our members expect cheap claret," the buyer told me – I bet they do.
They expect ebooks to be much cheaper," said Voxburner's Luke Mitchell.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com