The exaggeration describes hyperdeflation which is a completely different beast, so it’s not illustrative of the impacts of deflation in general. Either way, you’re focusing on the raw price amount without considering the value of the items being exchanged. If anything, deflation would help with selling since if a store has an item on sale for $10, a year later at 2% deflation selling for the same price it’d be worth 20 cents more in relation to the previous year’s dollar value and the store wouldn’t have to increase the price to make up for a loss in the value of the dollar. From the customer’s perspective, they don’t see a price increase even though the value of their dollar has increased.
The exaggeration describes hyperdeflation which is a completely different beast, so it’s not illustrative of the impacts of deflation in general. Either way, you’re focusing on the raw price amount without considering the value of the items being exchanged. If anything, deflation would help with selling since if a store has an item on sale for $10, a year later at 2% deflation selling for the same price it’d be worth 20 cents more in relation to the previous year’s dollar value and the store wouldn’t have to increase the price to make up for a loss in the value of the dollar. From the customer’s perspective, they don’t see a price increase even though the value of their dollar has increased.