Deflation, again...

Article;
Eurozone economy shows glimmers of hope.

Comment;

But it is good to let the prices fall, people will purchase costly things at cheap prices, their power to buy things will increase, they will buy more… As soon as the inventories are sold people will demand more labor to increase supply, overall demand and supply will go-up. Both are affected to reach equilibrium price-level at which demand equals supply, market clearing principle. But the ECB is targeting inflation by cutting interest rates down which is the opposite of the market mechanism will lead to. The economy is trying to gain demand due to falling prices, and, rising real wages and income, but the central bank is trying to inflate the economy… But, again complete price stability, zero inflation, is more common than periods of fluctuations. Definitely people will post-pone spending till the policy of inflation-targeting is over… There is a complete reason to believe that prices will come down. The expectation is rational… The central bank (i think) is trying to negate the Germany’s example of internal-devaluation. The path the price-level (downwards) chose was different from the direction the central bank is trying to achieve, upwards... Within Europe Germany is doing best of all… unemployment at 5% and a surplus in international-trade… The central bank is defying the German evidences of growth. The purpose is to create demand either by revaluation or by devaluation, wages and incomes must increase either in nominal terms or real-terms… demand will be created…