What happens to prices after a period of inflation ends?

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During a period of inflation prices rise or manufacturers adjust amounts of product consumers get for their money with “shrinkflation”.

After that period ends what happens to prices? Do they drop or do they just continue to increase at a rate closer to the “normal” rate of inflation and never really go back down?

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Anonymous 0 Comments

Now if were talking specifically as with prices being inflated due to corona, the prices should drop down afterwards, as accessibility is getting higher. Its all a question about supply and demand, and right now stuff like timber has a high demand but low supply, but when it changes, the prices will drop again (or should)

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