Yet still, the Bank must slash rates, we're told, because of "the spectre of deflation". I say Boo! to that ghost. Our political elite are talking about deflation not because it's a real danger, or because they know much about it, but because "deflation" is a good excuse for yanking monetary policy back from the Bank of England and nailing interest rates to the floor in the desperate hope such drastic moves will solve our problems.