{
  "title": "Deflation: Determinants, Risks, and Policy Options",
  "publication": "Occasional Papers, June 30, 2003",
  "sourceUrl": "https://www.imf.org/en/publications/occasional-papers/issues/2016/12/30/deflation-determinants-risks-and-policy-options-16559",
  "canonical": "https://www.imf.org/en/publications/occasional-papers/issues/2016/12/30/deflation-determinants-risks-and-policy-options-16559",
  "overlayPath": "/en/publications/occasional-papers/issues/2016/12/30/deflation-determinants-risks-and-policy-options-16559/index.md",
  "summary": "Deflation can be costly and difficult to anticipate, and concerns of a generalized decline in prices in both industrial and emerging market economies have increased recently.",
  "sections": [
    {
      "heading": "Summary",
      "content": "- Deflation can be costly and difficult to anticipate, and concerns of a generalized decline in prices in both industrial and emerging market economies have increased recently.\n- The paper investigates the causes and consequences of deflation, the risk of deflation globally and in individual countries, and policy options.\n- The authors discuss issues related to the measurement, determinants, and costs of deflation and examine previous episodes of deflation.\n- The paper offers several policy options for protecting against deflation and for coping with it should it strike."
    },
    {
      "heading": "Research scope and methods",
      "content": "- Computation of an index of deflation vulnerability.\n- Application of the deflation vulnerability index to the 35 largest industrial and emerging market economies.\n- Examination of previous episodes of deflation.\n- Discussion of measurement, determinants, and costs of deflation."
    },
    {
      "heading": "Key findings and emphases",
      "content": "- Focus on both industrial and emerging market economies with recent increased concerns about generalized price declines.\n- Emphasis on the difficulty of anticipating deflation and its potential costs.\n- Coverage includes asset prices, consumer prices, output gap, prices, production, and stock markets as relevant areas."
    },
    {
      "heading": "Policy implications and recommendations",
      "content": "- The paper offers several policy options aimed at:\n  - Protecting against deflation.\n  - Coping with deflation should it occur.\n- Specific policy measures are discussed in the paper (see full text for details).\n\n---\n\n\nSource: https://www.imf.org/en/publications/occasional-papers/issues/2016/12/30/deflation-determinants-risks-and-policy-options-16559"
    }
  ],
  "bullets": [
    "[Markdown version](/en/publications/occasional-papers/issues/2016/12/30/deflation-determinants-risks-and-policy-options-16559/index.md)",
    "[Structured JSON version](/en/publications/occasional-papers/issues/2016/12/30/deflation-determinants-risks-and-policy-options-16559/index.json)",
    "[Bundle manifest](/en/publications/occasional-papers/issues/2016/12/30/deflation-determinants-risks-and-policy-options-16559/bundle-manifest.json)",
    "Authors: Taimur Baig, Jörg Decressin, Tarhan Feyzioglu, Manmohan S. Kumar, Chris Faulkner-MacDonagh",
    "Published: June 30, 2003",
    "Series: Occasional Papers",
    "DOI: https://doi.org/10.5089/9781589062276.084",
    "Deflation can be costly and difficult to anticipate, and concerns of a generalized decline in prices in both industrial and emerging market economies have increased recently.",
    "The paper investigates the causes and consequences of deflation, the risk of deflation globally and in individual countries, and policy options.",
    "The authors discuss issues related to the measurement, determinants, and costs of deflation and examine previous episodes of deflation.",
    "The paper offers several policy options for protecting against deflation and for coping with it should it strike.",
    "Computation of an index of deflation vulnerability.",
    "Application of the deflation vulnerability index to the 35 largest industrial and emerging market economies.",
    "Examination of previous episodes of deflation.",
    "Discussion of measurement, determinants, and costs of deflation.",
    "Focus on both industrial and emerging market economies with recent increased concerns about generalized price declines.",
    "Emphasis on the difficulty of anticipating deflation and its potential costs.",
    "Coverage includes asset prices, consumer prices, output gap, prices, production, and stock markets as relevant areas.",
    "The paper offers several policy options aimed at:",
    "Specific policy measures are discussed in the paper (see full text for details)."
  ],
  "alternates": {
    "markdown": "/en/publications/occasional-papers/issues/2016/12/30/deflation-determinants-risks-and-policy-options-16559/index.md",
    "json": "/en/publications/occasional-papers/issues/2016/12/30/deflation-determinants-risks-and-policy-options-16559/index.json",
    "bundleManifest": "/en/publications/occasional-papers/issues/2016/12/30/deflation-determinants-risks-and-policy-options-16559/bundle-manifest.json"
  },
  "generatedAtUtc": "2026-09-20T17:42:44.233Z"
}