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Deflation can be likened to falling  sickness because rarely exercise. If someone basically have normal feet but lazy to use it, then this will result in the shrinking of the muscles of the leg that is rarely used. In a longer period of time the person will not be able to walk at all since the muscles are too weak to use. If this situation is precisely silenced, is not likely to paralysis forever.
The webmail most commonly used way is to provide economic stimulus in the form of liquidity support to the business sector. It is expected the economic activity back spin. The government is also able to cut taxes and increase spending to stimulate the economy itself. Of the Central Bank, the government can also increase the circulation of money in the community by purchasing private-sector debt and exchange it for cash. In addition, it can also be done by cutting interest rates. However, as described above, cutting interest rates is not a real solution but only a temporary treatment to stimulate the economy and expect the price to move up by itself.
Deflation is defined as an increase in the demand for money based on the amount of money that is in the community. Deflation occurs when the amount of money circulating in the community (money supply) is less than the amount of supply of goods available. Resulting in decreased prices. Examples of why this could happen can we meet in everyday life, the price of electronic goods are getting cheaper. This occurs because of the rapid technological development so that the supply of goods on the market more and more technology. While the amount of money circulating in the community a little bit, so that goods are falling technology costs. Or deflation can occur when the demand for goods of society has declined and demand money (money demand) from the public increased.
Deflation is also associated with the exchange rate. With deflation, we experienced currency appreciation or increased. In economics, deflation is defined as a period in which prices generally fall and the value of money increases. Deflation is the opposite of inflation. One way of overcoming deflation is to increase interest rates.
In economics, deflation (deflation) is a period where prices are generally falling and value for money increases. Deflation is the opposite of inflation. When inflation occurs due to the large amount of money circulating in the community, then deflation occurs due to lack of money in circulation, which is a way of overcoming it by lowering the interest rate or a more modest (though sometimes it did not work) is to print more money.