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Money Illusion |
Also found in: Wikipedia | 0.03 sec. |
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Money Illusion In economics, the tendency of persons not to consider inflation or deflation when making decisions. That is, the money illusion states that people think in terms of the amount of money they have, rather than in terms of its value (which tends to decline over time). The money illusion was described by John Maynard Keynes and Irving Fisher. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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