Disinflation

Definition

• A reduction in the rate of inflation either as a result of government policy or of declining economic activity.

Synonyms
shrinkage, deflation, decrease, compression

Related Terms and Acronyms

• Depression — Definition,
  • A prolonged downturn in the economy and level of business activity.
• Inflation — Definition,
  • A rise in the average level of prices in the economy.
• Inflation Protection — Definition,
  • A protection found in some insurance policies that allows policy limits to increase with inflation.
• Inflation-Protected Annuity — Definition,
  • An annuity that guarantees a return equal to or above inflation.
• Recession — Definition,
  • A prolonged period (popularly defined as two successive quarters) in which economic activity shrinks.
• Stagflation — Definition,
  • A time period where the unemployment rate and the rate of inflation are both relatively high.