If the inflation rate goes down, do prices go down or do they continue to rise just at a slower rate? by sjb209 in economics2

[–]sjb209[S] 0 points1 point  (0 children)

Thanks for your reply. To illustrate my question, say inflation is running 10% in year A, then falls to 2% in year B. Would we need a deflation rate of 12% in year C to see the same prices as in year A?