For the first time since March 1960, Britain has moved into negative inflation, or as they call it deflation.
The Chancellor, George Osborne, has said that this was not damaging and the pound in people's pockets was now going further and is good news for families and shows the benefits of an economic plan that is working'.
Of course he would say that and it is not what Nobel Prize-winning economist Joseph Stiglitz is saying as he said 'deflation is a symptom of a weak economy' and is 'like a thermometer and when you get deflation it is a symptom that the patient is not doing well'.
I am more inclined to believe the man with the Economy Nobel Prize than the man who is running the economy and will therefore spin it as a good thing but i am sure that we will soon find out as the financial problems of 2008 continue in 2015.
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