Yes it's deflation but it's wrong

if the government does it on purpose

Or rather, not as harmful as monetary deflation

Thats how deflation happens Visitor

then real incomes rise

The only problem is if it leads to a currently shortage

Not always

There is no such thing as a currency shortage

in a free market

I’m referencing short-term deflationary spirals

There can be

90% of the time , deflation doesn't link with recessions

There can't

there is no such thing

If the economy grows faster than the currency, it can lead to shortage

Especially on gold standard

No

Which inherently limits money supply

economic growth is a rise in living standards

not increasing money supply

new game start

bya niuuga

Economic growth is a rise in economic activity

Not really

Which requires more money to fuel

it's a rise in living standards

atleast in the free market

GDP could be considered very unreliable

Producing things that aren't of demand to the consumers is not growth

it does not raise the material standard of living

If you’re trying to correlatet with living standards, Yes

Economic growth would be raising the material standard of living

But you’re talking about per capita rather than per economy

in a free market monetary supply would stay stable

Yes

But demand would rise

Deflation would happen, meaning purchasing power would increase

Nope

Supply stays constant

Demand would not rise

How wouldn’t it