Prices Take a Big Tumble

The Administration's long battle to bring down the cost of living is paying off

Since 1965, prices in the U.S. economy have been heading one way. Sometimes rapidly, sometimes slowly, they went relentlessly upward. Yet last week the Labor Department reported that the economy's 17-year inflationary spiral had, for one month at least, finally been broken. During March, inflation as measured by the Consumer Price Index actually went down instead of up. This turned a trend of what economists call disinflation, or slowing price rises, into outright deflation, or falling prices.

The March figure,...

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