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English definition of “deflation”

deflation

noun [U] uk   /dɪˈfleɪ.ʃən/ us  

deflation noun [U] (MAKING SMALLER/WEAKER)

the action of making something smaller by removing the air from inside it; the fact of becoming smaller in this way : The rate of deflation of the balloon depends on the kind of material from which it is made. the situation in which something becomes weaker, or something or someone becomes less confident than before: a feeling of deflation after the partyBecoming and making smaller or lessBecoming and making less strong

deflation noun [U] (MONEY)

a reduction of the supply of money in an economy, and therefore a reduction of economic activity, that is often part of an intentional government plan to reduce prices Economics and the state of the economy a reduction in value: There has been a deflation in/of property values.Value and price decreases
deflationary
adjective uk   /-ər.i/ us    /-er.i/
a deflationary budget/policyEconomics and the state of the economy
(Definition of deflation from the Cambridge Advanced Learners Dictionary & Thesaurus © Cambridge University Press)
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