Daily Telegraph: "World faces low inflation threat not seen since before World War 2"

"Analysts predict inflation will fall below 2pc in all of the countries that make up the G7 group of advanced nations this year"

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"Increases in the prices of goods and services in the world’s largest economies are slowing dramatically. Analysts are predicting that inflation will fall below 2pc in all of the countries that make up the G7 group of advanced nations this year – the first time that has happened since before the Second World War.

"... The world economy [may be] at risk from the most dangerous kind of deflation. The worry is that this will lead to a dangerous downward spiral, in which consumers hold off spending as they wait for prices to fall further. The reduction in demand for goods and services would then become self-fulfilling. Companies may start reducing their capital expenditure as they try and ride out the slump in demand. This would further depress economic growth.

"Some economists are worried that the world’s largest economies are on the brink of just such a spiral."