Debt deflation refers to the decline in debt values as creditors agree to lower interest rates as an alternative to defaults.

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Debt deflation refers to a situation where falling prices lead to a decrease in the total value of outstanding debt, making it more difficult for borrowers to repay their debts. It does not refer to creditors agreeing to lower interest rates as an alternative to defaults.

Debt Deflation Refers to the Decline in Debt Values as Creditors