Explore how deflation impacts national debt, from rising real debt values to reduced spending and increased interest rates impacting economic growth.

Inflation is higher than policymakers would like across the broad U.S. economy. Yet, there are many sectors seeing the opposite dynamic: deflation. Deflation means prices are declining for consumers.

As inflation has throttled back from pandemic-era highs, consumers have seen prices decline outright for many household items. This dynamic, known as deflation, generally doesn't occur on a broad, ...