You are describing hyperinflation. Everything is up, except for salaries. There are two options:
A) accept the prices as real, embrace the inflation, and raise salaries
B) crash the markets and real estate, kill all the crypto-scam economy, keep jobs running with government money
Some kind of mix of both will happen. I doubt that salaries can continue this low when basic needs cannot be covered. And I doubt that it's possible to just rub off so much inflation, some things need to go down. So, we can meet in the middle.
What's happening in much of the world today isn't hyperinflation, it's just fairly high inflation, after a long period of very low inflation.
The two options you describe sound to me like they're only viable in a very centrally planned economy, and are fairly independent of general inflation. You can't really deliberately move prices like that unless you're willing to interfere in markets to the extent that, say, the Chinese government does.
Stock markets will do their own thing. The price of a share of a given company will go up and down based on ever-changing estimates of future earnings of that company.
Real estate demand is fairly inelastic, so prices there won't really go down unless you either massively increase supply (staring down NIMBYs and keeping costs under control - challenging on both counts), or decrease demand (somehow make huge numbers of people move to places with less pressure on housing, kill people's earning and saving potential, convince huge numbers of people to move back in with their parents and/or houseshare with others - also challenging on all counts).
You are describing hyperinflation. Everything is up, except for salaries. There are two options:
A) accept the prices as real, embrace the inflation, and raise salaries
B) crash the markets and real estate, kill all the crypto-scam economy, keep jobs running with government money
Some kind of mix of both will happen. I doubt that salaries can continue this low when basic needs cannot be covered. And I doubt that it's possible to just rub off so much inflation, some things need to go down. So, we can meet in the middle.