it matters to the people whose lives it impacts, and they're not going to be happy about the impacts.. of course deflation can occur.. they will try to use artificial means to control it, but they will still have to choose how to pay for things.. they can't produce things for free just because the economy is controlled.. it's a dire circumstance for them as their property market collapses, and unemployment is at insane levels.. deflation is a nightmare in that scenario, because it is the further contraction of an already faltering market..