Deflation can be differentiated from disinflation in that the deflation rate is always negative while the disinflation rate is always positive.

Question

Quizplus · Accepted Answer

Deflation refers to a decrease in the general price level of goods and services, resulting in a negative inflation rate. Disinflation refers to a slowdown in the rate of inflation, meaning prices are still rising but at a slower pace, so the inflation rate remains positive.

Deflation Can Be Differentiated from Disinflation in That the Deflation