Courtesy of Mish.
When inflation alarmists want to convince everyone the dollar is about to become worthless, they post this chart of the CPI.
CPI – Urban Consumers – All Items – Index
Inflationists claim that is a trend to oblivion. And actually it is. But it’s a slow trend towards oblivion with intermittent disruptions as the following chart shows.
CPI – Urban Consumers – All Items – Percent Change From Year Ago
As measured by consumer prices, inflation went negative from December 2008 until October 2009.
CPI – Urban Consumers – All Items – Percent Change Detail
The CPI hit a record low of -1.959 in July of 2009.
My prediction made in 2005 or so, was and still is “The US would go in a and out of deflation a number of times over a long period of time“.