Fed's Dudley says more economic aid likely

History reveals that wages are much stickier than goods, services, homes and stocks. Investment, not inflation, creates jobs, so the logical question becomes deflation is a dangerous for whom? The answer reveals why inflation is not a threat.

William Dudley, president of the Federal Reserve Bank of New York, said the pace of economic growth has been disappointing. And he worries that if the economy doesn't strengthen, the risk of an outbreak of deflation rises. Deflation is a dangerous and widespread decline in goods and services, wages and in the values of homes and stocks.

Source: finance.yahoo.com