Chart of the day: too much deflationary pressure a bad thing

Economist chart.

For a long time, China's deflationary impact on prices was seen as a good thing:  it meant China's rise didn't lead to more expensive goods in the West--just the opposite.

But with the West is a slump, a vicious cycle sets in:  more belt-tightening means less demand, means lower prices still, means . . ..

So the view of economists rounded up online by the mag is, "deflation is the bigger short-term danger in big, rich economies, whereas inflation is an immediate worry in many emerging economies and, potentially, a longer-term danger in rich ones."