Guys, this thread is about inflation/deflation. It has nothing to do with whether capitalism functions normally (i.e., if you can craft things and personally make more gil).

If deflation occurs due to the economic structure, then players who hoard gil will gradually have more wealth because their gil will become more valuable over time. This disincentivizes spending gil, which slows down the number of economic transactions, which lowers competition. It also makes fixed-price things like Teleports more expensive (in terms of VALUE -- not in absolute terms).