Deflation is easy to stop, but there are side effects - at the expense of savers.
The US Dollar devaluation in the early 1930's proved that deflation can be stopped dead. If they did it before (and the UK did it in the 1960's and again in the 1970's), why can't they (or us) do it again?
If an outright devaluation is unpalatable and the stealth option is preferred, just keep going with the quantitative easing (do I hear the sound of more QE coming soon, with interest rates jammed near zero for along time?).
Just keep printing/creating the currency at ever-greater rates until the rate of currency creation outstrips the rate of debt repayment and debt defaults which are "destroying" the money.
The incredible thing is that the stock and commodity markets are lapping up the QE and thriving, while savers get screwed. Long live QE!
