deflation
n. C1 Advanced US //dɪˈfɫeɪʃən// UK //diːflˈeɪʃən// de·fla·tion
n. a decrease in the general price level of goods and services in an economy. It can also mean the process of air or gas escaping from something, like a tire or a balloon.
n. a sustained decrease in the general price level of goods and services in an economy; also refers to the process of air or gas escaping from a container or cavity.
The central bank is worried about deflation because prices are falling.
After the tire was punctured, the driver noticed the deflation of the air inside the rubber as it lost pressure.
While moderate deflation can increase the purchasing power of consumers, it often signals a lack of demand that can lead to a prolonged economic downturn if not addressed by monetary policy.
From deflate + -ion.