Friday 14 November 2008

Wow, Deflation Is Totally Perpetuating My Procrastination

I'm somewhat known for being the most frugal person to roam the streets of this planet ever since Jeff Smith died in 2004. I'm always holding out for a better deal. I pretty much only shop for food on Mondays. While the expiration dates on the food up for sale may dissuade some from participating in the global market, it is how I accumulate the caloric requirements to sustain my life. You would think, then, that I'd be happy about deflation. After all, while deflation is a complex issue of economics, what it pretty much means is that the costs of things are going down. Tomorrow, in theory, that bunch of bananas will cost me less.

Usually, that bunch of bananas will increase in price due to inflation, which symbolizes the growing costs of goods. That's why $50 could buy you some pretty crazy ass shit back in 1850, but is easily spent in a lame night out at the bar on the corner (if you get any sauces with your buffalo wings, ranch dressing or that blue cheese mixture, you may even break that $50 plateau).

With inflation in mind, I tend to purchase items in haste. With no inflow of income, I'm working on existing funds which are not increasing in value with my offensively low interest rate associated with my checking and savings accounts. Now, though, with the threat of deflation looming over our heads, I'm tempted to hold off making any purchases till later. They'll be cheaper later rather than more expensive. I know the fear of deflation is usually limited to major hypothetical factories that put off purchasing expensive new machinery because, as I said, they'll be cheaper next year. This could slow down the whole economy.

To the average person, this probably won't do anything, especially if you're not in a position to make any durable purchases (a car, an apartment, mail-order bride, etc.). I know that the recently expired smoked haddock fillets I buy this week will be pretty much the same price as they'll be next week, so I guess I can mark this up to stubbornness, but just the idea that I'm wasting money now and missing on the deals that will be around in the near future keeps me up at night, restlessly tossing around in my closet-come-bedroom, thinking of the massive theoretical clearances around the corner.

No comments: