Georgi Georgiev
Genesis of Concepts of Deflation from the Classical to the Neo-Classical Economic Schools
Summary:
The current study is devoted to deflation, which is a significantly less analyzed problem in modern economic theory. The interest to this topic is prompted by the increasing probability of deflationary episodes, due to the periods of recession and depression observed in recent years almost all around the world. The main thesis of the article is that analyzing the origin and genesis of the concepts that explation deflation during the mentioned period has the potential to increase effectiveness in managing future deflationary processes. The aim of the study is to present a comparative analysis of some of the first systematic economic studies – from the birth of economic science to the period of the Keynesian revolution. This is done to achieve a more accurate and complete understanding of the economic interpretations of deflation over time, as well as the reasons that led to it and the consequences of the process.
